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HomeMy WebLinkAbout13-3282 r _ W HL. ra 1 fiu1 O � ;i €'iY Steven J. Schiffinan, Esq. CUf•9c3FIRLAND COUN Jeni S. Madden, Esq. t ENNS YI.WAA PA ID Nos. 25488 & 209536 SERRATELLI, SCHIFFMAN, & BROWN, P.C. 2080 Linglestown Road, Suite 201 Harrisburg, PA 17110 -9670 (717) 540 -9170 sschiffinan@ssbc-law.com jmaddenga ssbc- law.com CENTRIC BANK, IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA Plaintiff V. JCB ASSOCIATES, LLC, CHRISTOPHER M. BEAN and JENNIFER S. BEAN, : No. Defendants CONFESSION OF JUDGMENT FOR MONEY Pursuant to the authority contained in the warrant of attorney, a copy of which is attached to the Complaint filed in this action, I appear for DEFENDANTS and confess judgment in favor of the Plaintiff and against the Defendants as follows: DEFENDANT, JCB ASSOCIATES, LLC Loan 1: Loan Number 6159818 Principal Balance: $84,217.44 Interest through 05/21/13: $ 1,090.24 Satisfaction Fee: $ 85.00 Attorneys' Fees (10% of principal balance and interest, as authoriz by Note 1): $ 8,530.77 Total $93,923.45 plus all amounts advanced by Plaintiff in collection of the debt pursuant to the terms of Note 1 and loan documents, amts iCo.°D� d Q GL# S(/O%S P9 Rol ro � Mai along with all reasonable attorneys' fees, costs, monthly late charges, and interest at the accelerated Interest After Default rate as defined in the loan documents from May 21, 2013. Loan 2: Loan Number 6180228 Principal Balance: $23,803.62 Interest through 05/21/13: $ 235.78 Satisfaction Fees: $ 170.00 Attorneys' Fees (10% of principal balance and interest, as authorized by Note 2): $ 2,403.94 Total $26,613.34 plus all amounts advanced by Plaintiff in collection of the debt pursuant to the terms of Note 2 and loan documents, along with all reasonable attorneys' fees, monthly late charges, and interest at the accelerated Interest After Default rate as defined in the loan documents from May 21, 2013. TOTAL AMOUNT OF CONFESSED JUDGMENT: $120,536.79 DEFENDANT, CHRISTOPHER M. BEAN Loan 1: Loan Number 6159818 Principal Balance: $84,217.44 Interest through 05/21/13: $ 1,090.24 Satisfaction Fee: $ 85.00 Attorneys' Fees (10% of principal balance and interest, as authorized by Note 1): $ 8,530.77 Total $93,923.45 plus all amounts advanced by Plaintiff in collection of the debt pursuant to the terms of Note 1 and loan documents, along with all reasonable attorneys' fees, costs, monthly late charges, and interest at the K \ ms s accelerated Interest After Default rate as defined in the loan documents from May 21, 2013. Loan 2: Loan Number 6180228 Principal Balance: $23,803.62 Interest through 05/21/13: $ 235.78 Satisfaction Fees: $ 170.00 Attorneys' Fees (10% of principal balance and interest, as authorized by Note 2): $ 2,403.94 Total $26,613.34 plus all amounts advanced by Plaintiff in collection of the debt pursuant to the terms of Note 2 and loan documents, along with all reasonable attorneys' fees, monthly late charges, and interest at the accelerated Interest After Default rate as defined in the loan documents from May 21, 2013. TOTAL AMOUNT OF CONFESSED JUDGMENT: $120,536.79 DEFENDANT, JENNIFER S. BEAN Loan 1: Loan Number 6159818 Principal Balance: $84,217.44 Interest through 05/21/13: $ 1,090.24 Satisfaction Fee: $ 85.00 Attorneys' Fees (10% of principal balance and interest, as authorized by Note 1): $ 8,530.77 Total $93,923.45 plus all amounts advanced by Plaintiff in collection of the debt pursuant to the terms of Note 1 and loan documents, along with all reasonable attorneys' fees, costs, monthly late charges, and interest at the �t accelerated Interest After Default rate as defined in the loan documents from May 21, 2013. Loan 2: Loan Number 6180228 Principal Balance: $23,803.62 Interest through 05/21/13: $ 235.78 Satisfaction Fees: $ 170.00 Attorneys' Fees (10% of principal balance and interest, as authorized by Note 2): $ 2,403.94 Total $26,613.34 plus all amounts advanced by Plaintiff in collection of the debt pursuant to the terms of Note 2 and loan documents, along with all reasonable attorneys' fees, monthly late charges, and interest at the accelerated Interest After Default rate as defined in the loan documents from May 21, 2013. TOTAL AMOUNT OF CONFESSED JUDGMENT: $120,536.79 Respectfully submitted, SERRATELLI, SCHIFFMAN & BROWN P. C. Date: June 6, 2013 By Stevo J. Schiffman, squire Je . Madden, Esquire NIP Nos. 25488 & 209536 2090 Linglestown Road, Suite 201 Harrisburg, PA 17110 -9670 (717) 540 -9170 C ; � 11 li c�� � � � y CUME n 4D c0lLIi l� i Steven J. Schiffinan, Esq. Jeni S. Madden, Esq. PA ID Nos. 25488 & 209536 SERRATELLI, SCHIFFMAN, & BROWN, P.C. 2080 Linglestown Road, Suite 201 Harrisburg, PA 17110-9670' (717) 540 -9170 sschiffinan@ssbc-law.com imadden@ssbc-law.com CENTRIC BANK, IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA Plaintiff V. JCB ASSOCIATES, LLC, CHRISTOPHER M. BEAN and JENNIFER S. BEAN, /� No. 0 6 Defendants COMPLAINT IN CONFESSION OF JUDGMENT FOR MONEY Plaintiff Centric Bank files this complaint pursuant to Pa.R.C.P. 2951 for judgment by confession and in support thereof avers the following: 1. Plaintiff Centric Bank is a Pennsylvania banking institution with a registered office located at 4320 Linglestown Road, Harrisburg, Pennsylvania 17112. 2. Defendant JCB Associates, LLC, ( "Defendant JCB ") is a Pennsylvania limited liability company with a business address of 805 Locust Grove Road, Elizabethtown, Pennsylvania 17022. C t 3. Defendant Christopher M. Bean ( "Defendant Christopher ") is an adult individual with a last known address of 805 Locust Grove Road, Elizabethtown, Pennsylvania 17022. 4. Defendant Jennifer S. Bean ( "Defendant Jennifer ") is an adult individual with a last known address of 805 Locust Grove Road, Elizabethtown, Pennsylvania 17022. Defendant JCB, Defendant Christopher and Defendant Jennifer are hereinafter referred to collectively as "the Defendants." Count I Loan No. 6159818 — Defendant JCB 5. Plaintiff incorporates herein by reference paragraphs 1 through 4 of this Complaint as if fully set forth herein. 6. On or about September 26, 2007, Plaintiff extended a loan, identified as loan number 6159818, to Defendant JCB in the amount of $100,000.00 ( "Loan V). 7. To evidence its indebtedness under Loan 1, Defendant JCB contemporaneously made, executed and delivered to Plaintiff a Promissory Note dated September 26, 2007 ( "Note 1 "). A true and correct copy of Note 1, which authorizes judgment by confession, is attached hereto as Exhibit "A." 8. In the section titled "Cross Default Agreement," Note 1 states, in pertinent part, that "It is agreed that a default under any of the Documents bearing even date herewith, or under any other loan pursuant to which Borrower is directly or indirectly obligated to the Lender, shall collateralize and secure all of the obligations referred to herein." 9. Contrary to the terms and provisions of the loan documents between Defendant JCB and Plaintiff for the loans identified as loan numbers 6160907 and 6160998, Defendant JCB has failed to make payments in a timely manner. i Y 10. Defendant JCB's failure to make payments on loans 6160907 and 6160998 constitutes a default under the "Cross Default Agreement" provision of Note 1. 11. Under the terms of Note 1, Plaintiff presently possesses the right to demand payment by Defendant JCB on all amounts due on Note 1. 12. Under the terms of Note 1, due to Defendant JCB's default, Plaintiff is also entitled to attorneys' fees equal to ten percent (10 %) of the outstanding principal balance and interest. 13. As the result of the default on Loan 1, the following amounts are now due to Plaintiff: Principal Balance: $84,217.44 Interest through 05/21/13: $ 1,090.24 Satisfaction Fee: $ 85.00 Attorneys' Fees (10% of principal balance and interest, as authorized by Note 1): $ 8,530.77 Total $93,923.45 plus all amounts advanced by Plaintiff in collection of the debt pursuant to the terms of Note 1 and loan documents, along with all reasonable attorneys' fees, costs, monthly late charges, and interest at the accelerated Interest After Default rate as defined in the loan documents from May 21, 2013. 14. Defendant JCB has been notified of its default pursuant to Note 1 and Plaintiff has demanded payment. Despite Plaintiff's demands, Defendant JCB has failed to pay the indebtedness owed to Plaintiff under Note 1. See default letters dated May 16, 2013, attached hereto as Exhibit `B." 15. The judgment sought herein is not against a natural person in connection with a consumer credit transaction. 16. Note 1 has not been assigned. 1 17. Judgment has not been entered in any jurisdiction on Note 1 authorizing confession. WHEREFORE, Plaintiff, as authorized by the confession of judgment clause contained in Note 1, requests judgment to be entered against Defendant JCB in the sum of $93,923.45, along with all reasonable attorneys' fees, monthly late charges, and interest at the accelerated Interest After Default rate as defined in the loan documents from May 21, 2013. Count II Loan No. 6159818 — Defendants Christopher and Jennifer 18. Plaintiff incorporates herein by reference paragraphs 1 through 17 of this Complaint as if fully set forth herein. 19. In partial consideration of Loan 1 extended to Defendant JCB by Plaintiff, as partial security for repayment, and as partial inducement to Plaintiff to so act, Defendant Christopher individually made, executed and delivered to Plaintiff a Commercial Guaranty with regard to the indebtedness of Defendant JCB to Plaintiff under Note 1, thereby personally guaranteeing payment and performance (hereinafter "Guaranty V). A true and correct copy of Guaranty 1 is attached hereto as Exhibit "C." 20. In partial consideration of Loan 1 extended to Defendant JCB by Plaintiff, as partial security for repayment, and as partial inducement to Plaintiff to so act, Defendant Jennifer individually made, executed and delivered to Plaintiff a Commercial Guaranty with regard to the indebtedness of Defendant JCB to Plaintiff under Note 1, thereby personally guaranteeing payment and performance (hereinafter "Guaranty 2 "). A true and correct copy of the Guaranty 2 is attached hereto as Exhibit "D." 21. Guaranty 1 and Guaranty 2 additionally authorized judgment by confession. i tl 22. As Note 1 is in default, Plaintiff presently possesses the right to demand payment in full of all obligations due under Note 1 from Defendant Christopher and Defendant Jennifer. 23. Defendant Christopher and Defendant Jennifer have been notified of Defendant JCB's default and Plaintiff has demanded payment. See Exhibit `B." Despite Plaintiffs demands, Defendant Christopher and Defendant Jennifer have failed to pay the indebtedness owed to Plaintiff under Note 1, Guaranty 1 and Guaranty 2. 24. Under the terms of Guaranty 1 and Guaranty 2, Plaintiff is also entitled to attorneys' fees equal to ten percent (10 %) of the outstanding principal balance and interest. 25. As the result of Defendant JCB's default on Loan 1, as previously stated herein, the following amounts are now due to Plaintiff Principal Balance: $84,217.44 Interest through 05/21/13: $ 1,090.24 Satisfaction Fee: $ 85.00 Attorneys' Fees (10% of principal balance and interest, as authorized by Note 1): $ 8,530.77 Total $93,923.45 plus all amounts advanced by Plaintiff in collection of the debt pursuant to the terms of Note 1 and loan documents, along with all reasonable attorneys' fees, costs, monthly late charges, and interest at the accelerated Interest After Default rate as defined in the loan documents from May 21, 2013. 26. The judgment sought herein is not against a natural person in connection with a consumer credit transaction. 27. Guaranty 1 and Guaranty 2 have not been assigned. 28. Judgment has not been entered in any jurisdiction on Guaranty 1 and Guaranty 2 authorizing confession. t ' WHEREFORE, Plaintiff, as authorized by the confession of judgment clause contained in Guaranty 1 and Guaranty 2, requests judgment to be entered against Defendant Christopher and Defendant Jennifer in the sum of $93,923.45, along with all reasonable attorneys' fees, monthly late charges, and interest at the accelerated Interest After Default rate as defined in the loan documents from May 21, 2013. Count III Loan No. 6180228 — Defendant JCB 29. Plaintiff incorporates herein by reference paragraphs 1 through 28 of this Complaint as if fully set forth herein. 30. On or about June 6, 2008, Plaintiff extended a line of credit, identified as loan number 6180228, to Defendant JCB in the amount of $25,000.00 ( "Loan 2 "). 31. To evidence its indebtedness under Loan 2, Defendant JCB contemporaneously made, executed and delivered to Plaintiff a Promissory Note dated June 6, 2008 ( "Note 2 "). A true and correct copy of Note 2, which authorizes judgment by confession, is attached hereto as Exhibit "E." 32. In the section titled "Cross Default Agreement," Note 2 states, in pertinent part, that "It is agreed that a default under any of the Documents bearing even date herewith, or under any other loan pursuant to which Borrower is directly or indirectly obligated to the Lender, shall collateralize and secure all of the obligations referred to herein." 33. Contrary to the terms and provisions of the loan documents between Defendant JCB and Plaintiff for loans identified as loan numbers 6160907 and 6160998, Defendant JCB has failed to make payments in a timely manner. 34. Defendant JCB's failure to make payments on loans 6160907 and 6160998 constitutes a default under the "Cross Default Agreement" provision of Note 1. 35. Under the terms of Note 2, Plaintiff presently possesses the right to demand payment by Defendant JCB on all amounts due on Note 2. 36. Under the terms of Note 2, due to Defendant JCB's default, Plaintiff is also entitled to attorneys' fees equal to ten percent (10 %) of the outstanding principal balance and interest. 37. As the result of the default on Loan 2, the following amounts are now due to Plaintiff: Principal Balance: $23,803.62 Interest through 05/21/13: $ 235.78 Satisfaction Fees: $ 170.00 Attorneys' Fees (10% of principal balance and interest, as authorized by Note 2): $ 2,403.94 Total $26,613.34 plus all amounts advanced by Plaintiff in collection of the debt pursuant to the terms of Note 2 and loan documents, along with all reasonable attorneys' fees, monthly late charges, and interest at the accelerated Interest After Default rate as defined in the loan documents from May 21, 2013. 38. Defendant JCB has been notified of its default pursuant to Note 2 and Plaintiff has demanded payment. Despite Plaintiff's demands, Defendant JCB has failed to pay the indebtedness owed to Plaintiff under Note 2. See Exhibit `B." 39. The judgment sought herein is not against a natural person in connection with a consumer credit transaction. 40. Note 2 has not been assigned. 41. Judgment has not been entered in any jurisdiction on Note 2 authorizing confession. WHEREFORE, Plaintiff, as authorized by the confession of judgment clause contained in Note 2, requests judgment to be entered against Defendant JCB in the sum of $26,613.34, along with all reasonable attorneys' fees, monthly late charges, and interest at the accelerated Interest After Default rate as defined in the loan documents from May 21, 2013. Count IV Loan No. 6180228 — Defendants Christopher and Jennifer 42. Plaintiff incorporates herein by reference paragraphs 1 through 41 of this Complaint as if fully set forth herein. 43. In partial consideration of Loan 2 extended to Defendant JCB by Plaintiff, as partial security for repayment, and as partial inducement to Plaintiff to so act, Defendant Christopher individually made, executed and delivered to Plaintiff a Commercial Guaranty with regard to the indebtedness of Defendant JCB to Plaintiff under Note 2, thereby personally guaranteeing payment and performance (hereinafter "Guaranty 3 "). A true and correct copy of Guaranty 3 is attached hereto as Exhibit ' F." 44. In partial consideration of Loan 2 extended to Defendant JCB by Plaintiff, as partial security for repayment, and as partial inducement to Plaintiff to so act, Defendant Jennifer individually made, executed and delivered to Plaintiff a Commercial Guaranty with regard to the indebtedness of Defendant JCB to Plaintiff under Note 2, thereby personally guaranteeing payment and performance (hereinafter "Guaranty 4 "). A true and correct copy of the Guaranty 4 is attached hereto as Exhibit "G." 45. Guaranty 3 and Guaranty 4 additionally authorized judgment by confession. 46. As Note 2 is in default under the terms of Note 2, Plaintiff presently possesses the right to demand payment in full of all obligations due under Note 2 from Defendant Christopher and Defendant Jennifer. f 47. Defendant Christopher and Defendant Jennifer have been notified of Defendant JCB's default and Plaintiff has demanded payment. See Exhibit `B." Despite Plaintiffs demands, Defendant Christopher and Defendant Jennifer have failed to pay the indebtedness owed to Plaintiff under the Note, Guaranty 3 and Guaranty 4. 48. Under the terms of Guaranty 3 and Guaranty 4, Plaintiff is also entitled to attorneys' fees equal to ten percent (10 %) of the outstanding principal balance and interest. 49. As the result of Defendant JCB's default on Loan 2, as previously stated herein, the following amounts are now due to Plaintiff Principal Balance: $23,803.62 Interest through 05/21/13: $ 235.78 Satisfaction Fees: $ 170.00 Attorneys' Fees (10% of principal balance and interest, as authorized by Note 2): $ 2;403.94 Total $26,613.34 plus all amounts advanced by Plaintiff in collection of the debt pursuant to the terms of Note 2 and loan documents, along with all reasonable attorneys' fees, monthly late charges, and interest at the accelerated Interest After Default rate as defined in the loan documents from May 21, 2013. 50. The judgment sought herein is not against a natural person in connection with a consumer credit transaction. 51. Guaranty 3 and Guaranty 4 have not been assigned. 52. Judgment has not been entered in any jurisdiction on Guaranty 1 and Guaranty 2 authorizing confession. WHEREFORE, Plaintiff, as authorized by the confession of judgment clause contained in Guaranty 3 and Guaranty 4, requests judgment to be entered against Defendant Christopher and Defendant Jennifer in the sum of $26,613.34, along with all reasonable attorneys' fees, monthly late charges, and interest at the accelerated Interest After Default rate as defined in the loan documents from May 21, 2013. Respectfully submitted, SERRATELLI, SCHIFFMAN, & BRO WN P. C. Date: June 6, 2013 0 - 1 Steven Schiffinan, Esquire Jeni S. adden, Esquire Pa. I os. 25488 & 209536 2080 Linglestown Road, Suite 201 Harrisburg, PA 17110 -9670 (717)540 -9170 VERIFICATION I, Sascha C. Leftault, do hereby state, under penalty of 18 P.S. § 4904 relating to unsworn falsification to authorities, that I am an authorized representative of Plaintiff Centric Bank, am authorized to give this verification on its behalf, and that the averments set forth in the foregoing complaint are true and correct to the best of my knowledge, information, and belief. Centric Bank By: -.'� 0/ Sascha C. Leftault AFFIDAVIT OF NON - MILITARY SERVICE I, Sascha C. Leftault, being duly sworn according to law, depose and say that I am an officer of Plaintiff Centric Bank and I am authorized to make this affidavit on its behalf. I hereby affirm that to the best of my knowledge, Christopher M. Bean is not currently serving in the United States Military, nor in any State or Territory thereof or its allies, as defined in the Soldiers' and Sailors' Civil Relief Act of 1940 and the amendments thereto. Centric Bank Date: ( `3 � 13 B Sascha C. Leftault COMMONWEALTH OF PENN Notarial Seal Connie L. O'Hara, Notary Pubk Lower Paxton Twp., Dauphin County My Canmisslon Expires Aug. 17, 2015 MEMBER, PENNSYLVANIA A5$oQA71pN of NOTARIES Sworn to and subscribed befor me this day of 0 Notary Public AFFIDAVIT OF NON - MILITARY SERVICE I, Sascha C. Leftault, being duly sworn .according to law, depose and say that I am an officer of Plaintiff Centric Bank and I am authorized to make this affidavit on its behalf. I hereby affirm that to the best of my knowledge, Jennifer S. Bean is not currently serving in the United States Military, nor in any State or Territory thereof or its allies, as defined in the Soldiers' and Sailors' Civil Relief Act of 1940 and the amendments thereto. Centric Bank Date: 6jz I y By: Sascha C. Leftault COMMOMNMTH OF pub"c P ENNS - YLVANIA Connie L O�� ta Lo wer paxton Twp•, Dauphin County MEMBER, pENrym E V� Aug. 17, 2015 LOCUTION Of ►►OTARIES Sworn to and subscribed bef re me this day of 1 „ ,. AAA CaA FV Notary Public CENTRIC BANK, IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA Plaintiff V. JCB ASSOCIATES, LLC, CHRISTOPHER M. BEAN and JENNIFER S. BEAN, No. Defendants CERTIFICATION I hereby certify the precise last known addresses of the parties are as follows: Defendant: JCB Associates, LLC 805 Locust Grove Road Elizabethtown, PA 17022 Christopher M. Bean 805 Locust Grove Road Elizabethtown, PA 17022 Jennifer S. Bean 805 Locust Grove Road Elizabethtown, PA 17022 Plaintiff Centric Bank 4320 Linglestown Road Harrisburg, Pennsylvania 17112 Date: Centric Bank Sworn to and subscribed By: before me this �` day Sascha C. Leftault of Sunf - Zola Notary Pu i'c COMMONWEALTH OF PENNSYLVANIA Notarial Seal Peggy I Elder, Notary Public Lower Paxton Twp., Dauphin County M Commission Wines July 22 2014 memwt, Nnnwwnia MW-Wan of Notafles PLAINTIFF'S z E IBIT s E m PROMISSORY NOTE 1. ;::a:::e;.:::::: li'ei i < >:a ?:<: >: > :> ::s >: >' - : t3; D '. » » >::: >r> ii•�ftt ;: >:<r :: :: Pet ........................... ................n.............. ...... tt�.............. ..............:.:::....::::. -Lu n::No.::::::::::.:._:: a_(: l.: c. n( t........................... 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Borrower; JCB Associates, LLC Lender CENTRIC BANK, N.A. 805 Locust Grove Road Harrisburg Office Elizabethtown, PA 17022 Corporate Headquarters 3601 Vartan Way Harrisburg, PA 17110 (717) 657 -7727 Principal Amount: $ 100,000.00 Date of Note: September 26, 2007 Maturity Date: September 26, 2027 PROMISE TO PAY. JCB Associates, LLC ( "Borrower ") promises to pay to CENTRIC BANK, N.A. ( "Lender "), or order, in lawful money of the United States of America, the principal amount of One Hundred Thousand & 00/100 Dollars ($100,000.00), together with interest on the unpaid principal balance from September 26, 2007, until paid in full. PAYMENT. Borrower will pay this loan in full immediately upon Lender's demand. if no demand is made, subject to any payment changes resulting from changes in the Index, Borrower will pay this loan in accordance with the following payment schedule: 60 monthly consecutive principal and interest payments in the initial amount of $812.28 each, beginning October 26, 2007, with interest calculated on the unpaid principal balances at an initial discounted interest rate of 7.500% per annum; and 180 monthly consecutive principal and interest payments in the initial amount of $876.46 each, beginning October 26, 2012, with interest calculated on the unpaid principal balances at an interest rate based on the The Wall Street Journal Prime (currently 7.750 %), plus a margin of 1.000 %, resulting in an initial interest rate of 8.750 %. Borrower's final payment will be due on September 26, 2027 and will be for all principal and accrued interest not yet paid, together with any other unpaid amounts under this Note. Unless otherwise agreed or required by applicable law, payments will be applied first to any accrued unpaid interest; then to principal; then to any late charges; and then to any unpaid collection costs. The annual interest rate for this Note is computed on a 365/360 basis; that is, by applying the ratio of the annual interest rate over a year of 360 days, multiplied by the outstanding principal balance, multiplied by the actual number of days the principal balance is outstanding. Borrower will pay Lender at Lender's address shown above or at such other place as Lender may designate in writing. VARIABLE INTEREST RATE. For the first 60 payments, the interest rate on this loan will be 7.500 %. Thereafter, the interest rate on this Note is subject to change from time to time based on changes in an independent index which is the The Wall Street Journal Prime (the "Index "). The Index is not necessarily the lowest rate charged by Lender on its loans. If the Index becomes unavailable during the term of this loan, Lender may designate a substitute index after notifying Borrower. Lender will tell Borrower the current Index rate upon Borrower's request. The interest rate change will not occur more often than each Month. Borrower understands that Lender may make loans based on other rates as well. The Index currently is 7.750% per annum. The interest rate or rates to be applied to the unpaid principal balance during this Note will be the rate or rates set forth herein in the "Payment" section. Notwithstanding any other provision of this Note, after the first payment stream, the interest rate for each subsequent payment stream will be effective as of the last payment date of the just- ending payment stream. NOTICE: Under no circumstances will the interest rate on this Note be less than 6.500% per annum or more than the maximum rate allowed by applicable law. Whenever increases occur in the interest rate, Lender, at its option, may do one or more of the following: (A) increase Borrower's payments to ensure Borrower's loan will pay off by its original final maturity date, (B) increase Borrower's payments to cover accruing interest, (C) increase the number of Borrower's payments, and (D) continue Borrower's payments at the same amount and increase Borrower's final payment. PREPAYMENT PENALTY. Upon prepayment of this Note, Lender is entitled to the following prepayment penalty: Borrower shall be permitted to prepay the loan at any time without penalty, provided funds used for such prepayments are the result of internally generated cash flow, and are not obtained from a lending institution. Except for the aforementioned, Borrower shall agree to pay a penalty of two percent (2 %) on any prepayment in the first three years of the loan. Subsequent to the first three years of the loan, Borrower agrees to pay a penalty of one percent (1 %) on any prepayment during the remaining fixed rate period of the loan. Except for the foregoing, Borrower may pay all or a portion of the amount owed earlier than it is due. Early payments will not, unless agreed to by Lender in writing, relieve Borrower of Borrower's obligation to continue to make payments under the payment schedule. Rather, early payments will reduce the principal balance due and may result in Borrower's making fewer payments. Borrower agrees not to send Lender payments marked "paid in full ", "without recourse ", or similar language. If Borrower sends such a payment, Lender may accept it without losing any of Lender's rights under this Note, and Borrower will remain obligated to pay any further amount owed to Lender. All written communications concerning disputed amounts, including any check or other payment instrument that indicates that the payment constitutes "payment in full" of the amount owed or that is tendered with other conditions or limitations or as full satisfaction of a disputed amount must be mailed or delivered to: CENTRIC BANK, N.A., P.O. Box 62090 Harrisburg, PA 17106-2090. LATE CHARGE. If a payment is 15 days or more late, Borrower will be charged 5.000% of the regularly scheduled payment. INTEREST AFTER DEFAULT. Upon default, including failure to pay upon final maturity, the interest rate on this Note shall be increased by adding a 2.000 percentage point margin ( "Default Rate Margin "). The Default Rate Margin shall also apply to each succeeding interest rate change that would have applied had there been no default. After maturity, or after this Note would have matured had there been no default, the Default Rate Margin will continue to apply to the final interest rate described in this Note. If judgment is entered in connection with this Note, interest will continue to accrue after the date of judgment at the rate in effect at the time judgment is entered. However, in no event will the interest rate exceed the maximum interest rate limitations under applicable law, DEFAULT. Each of the following shalt constitute an event of default ("Event of Default ") under this Note: Payment Default. Borrower fails to make any payment when due under this Note. Other Defaults. Borrower fails to comply with or to perform any other term, obligation, covenant or condition contained in this Note or in any of the related documents or to comply with or to perform any term, obligation, covenant or condition contained in any other agreement between Lender and Borrower. Default in Favor of Third Parties. Borrower or any Grantor defaults under any loan, extension of credit, security agreement, purchase or sales agreement, or any other agreement, in favor of any other creditor or person that may materially affect any of Borrower's property or Borrower's ability to repay this Note or perform Borrower's obligations under this Note or any of the related documents. False Statements. Any warranty, representation or statement made or furnished to Lender by Borrower or on Borrower's behalf under this Note or the related documents is false or misleading in any material respect, either now or at the time made or furnished or becomes false PROMISSORY NOTE f. Loaf No: 6159818 (Continued) Page 2 or misleading at any time thereafter. Death or Insolvency. The dissolution of Borrower (regardless of whether election to continue is made), any member withdraws from Borrower, or any other termination of Borrower's existence as a going business or the death of any member, the insolvency of Borrower, the appointment of a receiver for any part of Borrower's property, any assignment for the benefit of creditors, any type of creditor workout, or the commencement of any proceeding under any bankruptcy or insolvency laws by or against Borrower. Creditor or Forfeiture Proceedings. Commencement of foreclosure or forfeiture proceedings, whether by judicial proceeding, self -help, repossession or any other method, by any creditor of Borrower or by any governmental agency against any collateral securing the loan. This includes a garnishment of any of Borrower's accounts, including deposit accounts, with Lender. However, this Event of Default shall not apply if there is a good faith dispute by Borrower as to the validity or reasonableness of the claim which is the basis of the creditor or forfeiture proceeding and if Borrower gives Lender written notice of the creditor or forfeiture proceeding and deposits with Lender monies or a surety bond for the creditor or forfeiture proceeding, in an amount determined by Lender, in its sole discretion, as being an adequate reserve or bond for the dispute. Events Affecting Guarantor. Any of the preceding events occurs with respect to any Guarantor of any of the indebtedness or any Guarantor dies or becomes incompetent, or revokes or disputes the validity of, or liability under, any guaranty of the indebtedness evidenced by this Note. In the event of a death, Lender, at its option, may, but shall not be required to, permit the Guarantor's estate to assume unconditionally the obligations arising under the guaranty in a manner satisfactory to Lender, and, in doing so, cure any Event of Default. Adverse Change. A material adverse change occurs in Borrower's financial condition, or Lender believes the prospect of payment or performance of this Note is impaired. Insecurity. Lender in good faith believes itself insecure. Cure Provisions. If any default, other than a default in payment is curable and if Borrower has not been given a notice of a breach of the same provision of this Note within the preceding twelve (12) months, it may be cured if Borrower, after receiving written notice from Lender demanding cure of such default: (1) cures the default within fifteen (15) days; or (2) if the cure requires more than fifteen (15) days, immediately initiates steps which Lender deems in Lender's sole discretion to be sufficient to cure the default and thereafter continues and completes all reasonable and necessary steps sufficient to produce compliance as soon as reasonably practical. LENDER'S RIGHTS. Upon default, Lender may, after giving such notices as required by applicable law, declare the entire unpaid principal balance under this Note and all accrued unpaid interest immediately due, and then Borrower will pay that amount. ATTORNEYS' FEES; EXPENSES. Lender may hire or pay someone else to help collect this Note if Borrower does not pay. Borrower will pay Lender that amount. This includes, subject to any limits under applicable law, Lender's reasonable attorneys' fees and Lender's legal expenses, whether or not there is a lawsuit, including reasonable attorneys' fees, expenses for bankruptcy proceedings (including efforts to modify or vacate any automatic stay or injunction), and appeals. If not prohibited by applicable law, Borrower also will pay any court costs, in addition to all other sums provided by law. GOVERNING LAW. This Note will be governed by federal law applicable to Lender and, to the extent not preempted by federal law, the laws of the Commonwealth of Pennsylvania without regard to its conflicts of law provisions. This Note has been accepted by Lender in the Commonwealth of Pennsylvania. CHOICE OF VENUE. If there is a lawsuit, Borrower agrees upon Lender's request to submit to the jurisdiction of the courts of Dauphin County, Commonwealth of Pennsylvania. DISHONORED ITEM FEE. Borrower will pay a fee to Lender of $30.00 if Borrower makes a payment on Borrower's loan and the check or preauthorized charge with which Borrower pays is later dishonored. RIGHT OF SETOFF. To the extent permitted by applicable law, Lender reserves a right of setoff in all Borrower's accounts with Lender (whether checking, savings, or some other account). This includes all accounts Borrower holds jointly with someone else and all accounts Borrower may open in the future. However, this does not include any IRA or Keogh accounts, or any trust accounts for which setoff would be prohibited by law. Borrower authorizes Lender, to the extent permitted by applicable law, to charge or setoff all sums owing on the indebtedness against any and all such accounts. COLLATERAL. Borrower acknowledges this Note is secured by the following collateral described in the security instruments listed herein: (A) a Mortgage dated September 26, 2007, to Lender on real property located in Cumberland County, Commonwealth of Pennsylvania. (B) an Assignment of All Rents to Lender on real property located in Cumberland County, Commonwealth of Pennsylvania. PROPERTY INSURANCE. Borrower understands that Borrower is required to obtain insurance for the collateral securing this Note. Further information concerning this requirement is set forth in the Mortgage and in the Agreement to Provide Insurance, all the terms and conditions of which are hereby incorporated and made a part of this Note. CERTIFICATION AND AGREEMENT FOR CONTINUING PERFECTION AND COMPLIANCE. Whereas, the undersigned has applied to CENTRIC BANK, N.A., (the "Bank ") for a certain loan and /or financial accommodations and Whereas, the Bank has agreed to make the aforesaid loan, but only upon the conditions contained in the Commitment Letter (hereinafter called the "Loan Agreement "), and Whereas the undersigned deem(s) it in (their) best interest to obtain the aforesaid loan, Now therefore, in consideration of these premises and other good and valuable consideration, it is agreed as follows: 1) The undersigned will perform any and all steps requested by the Bank to: (a) create and maintain in the Bank's favor a valid lien and security interest in the collateral to be pledged to Bank pursuant to the terms of the Loan Agreement, including, but without limitation, the execution, delivery, filing and /or recording of promissory notes, guarantees, mortgages, security agreements, fianancing statements, continuation statements and the like, necessary in the opinion of Bank's counsel to effectuate the terms of the Loan Agreement, (b) execute and deliver any other documents necessary, in the opinion of the Bank's counsel, to complete, perfect and continue, but not to modify or change the terms of the Loan Agreement, and (c) the undersigned Borrower agrees, in consideration of CENTRIC BANK, N.A., the Lender disbursing funds for the closing of a loan on Borrower if requested by the Lender or any party acting on behalf of the Lender, to fully cooperate and adjust for clerical errors, any and all closing documentation deemed necessary or desirable in the reasonable discretion of Lender to enable Lender or to ensure enforceability of the loan if dept in tender's own portfolio. The undersigned Borrower agrees to comply with all the above noted requests by Lender within 30 days from the date of mailing said request by the Lender. The Borrower agrees to assume all costs, including, by way of illustration and not limitation, actual expenses, legal fees and marketing losses for failing to comply with lender's requests in the above noted time period. The undersigned Borrower does hereby agree and covenant in order to assure that loan documentation exuecuted this day will conform and be acceptable in the marketplace in the instance of transfer, sale or conveyance by Lender of its interest in and to said loan documentation. 2) The undersigned agrees that terms, provisions and conditions set forth in the Loan Agreement, to the extent that same are not contained in the final documents or have not been fully complied with by the time of the disbursement of loan proceeds to the undersigned by the Bank. shall survive the closing of the loan. 3) The undersigned further agrees to provide the Bank with and /or certifies to the ' PROMISSORY NOTE i Loan No: 6159818 (Continued) Page 3 Bank (a) since the date of the application for the loan which is being closed concurrently with the delivery hereof ( "Closing ") there has been no unremedied adverse change in the financial or any other condition of the Borrower or any of the undersigned, (b) the undersigned received a true and complete copy of each document or other instrument signed in the connection with the closing, (c) all taxes of the Borrower and undersigned are current and all future taxes will be paid when due. 4) The undersigned acknowledges and agrees that failure to comply with the terms and conditions contained herein, or to furnish the Bank with proof thereof upon Bank's request, shall constitute an act of default under the mortgage and /or security agreement executed by the undersigned in connection with this loan transaction, which default shall entitle Bank to any and all remedies, including the accerlation of the unpaid balance of the loan, set forth in the said mortgage and/or security agreement. CROSS DEFAULT AGREEMENT. THIS AGREEMENT, by and between Borrower and Lender; WHEREAS, Lender is about to enter into a Commercial Loan transaction with Borrower pursuant to the terms and conditions of certain loan documents or other loans to Borrower; and WHEREAS as an inducement to Lender to execute the Documents, and for other good and valuable consideration, Borrower is willing to cross collaterize their various obligations; NOW THEREFORE, intending to be legally bound hereby, Borrower for themselves, their successors and assigns, hereby agrees as follows: It is agreed that a default under any of the Documents bearing even date herewith, or under any other loan pursuant to which Borrower is directly or indirectly obligated to Lender, shall collaterize and secure all of the obligations of the undersigned referred to herein. IN WITNESS WHEREOF, intending legally to bind itself, its sucessors and assigns, Borrower has hereunto set its hand and seal on the day and year of this Note. PROTECTION OF LENDER'S SECURITY. If Borrower(s) fail to perform according to the covenants and agreements contained in the mortgage instrument, or if any action or proceeding is commenced which affects the property or title, thereto, or the interest of lender therein, including, but not limited to eminent domain, insolvency, code enforcement, or arrangements or proceedings involving bankrupt or decedent, then lender at lender's option may make such appearances, disburse such sums and take such action as lender deems necessary in its sole discretion, to protect lender's interest, including, but not limited to, disbursement of attoney fees, entry upon the proerty to make repairs and procurement of satisfactory insurance. Any amounts disbursed by lender pursuant to this paragraph with interest thereon, shall become additional indebtedness of the borrower secured by the Mortgage. Unless Borrower and lender agree to other terms of payment, such accounts shall immediately due and payable and shall bear interest from the date of disbursement at the rate stated in the note unless collection from borrower of interest at such rate would be contrary to applicable law, in which event such amounts shall bear interest at the highest rate which may be collected from borrower under applicable law. Borrower hereby covenants and agrees that lender shall be subrogated to the lien of any mortgage or other lien discharged, in whole or in part, by the indebtedness secured hereby. Nothing contained in this paragraph shall require lender to incur any expense to take any action hereunder. DEPOSIT RELATIONSHIP. Borrower shall maintain its primary business deposit account relationship with CENTRIC BANK, N.A., with a compensating balance totaling at least 3% of the outstanding loan balance. If the Borrower fails to maintain such a deposit relationship with the Bank, the Bank may increase the loan interest rate in effect by 2,00% . SUCCESSOR INTERESTS. The terms of this Note shall be binding upon Borrower, and upon Borrower's heirs, personal representatives, successors and assigns, and shall inure to the benefit of Lender and its successors and assigns. NOTIFY US OF INACCURATE INFORMATION WE REPORT TO CONSUMER REPORTING AGENCIES. Please notify us if we report any inaccurate information about your account(s) to a consumer reporting agency. Your written notice describing the specific inaccuracy(ies) should be sent to us at the following address: CENTRIC BANK, N.A. P.O. Box 62090 Harrisburg, PA 17106 -2090. GENERAL PROVISIONS. This Note is payable on demand. The inclusion of specific default provisions or rights of Lender shall not preclude Lender's right to declare payment of this Note on its demand, If any part of this Note cannot be enforced, this fact will not affect the rest of the Note. Lender may delay or forgo enforcing any of its rights or remedies under this Note without losing them. Borrower and any other person who signs, guarantees or endorses this Note, to the .extent allowed by law, waive presentment, demand for payment, and notice of dishonor. Upon any change in the terms of this Note, and unless otherwise expressly stated in writing, no party who signs this Note, whether as maker, guarantor, accommodation maker or endorser, shall be released from liability. All such parties agree that Lender may renew or extend (repeatedly and for any length of time) this loan or release any party or guarantor or collateral; or impair, fail to realize upon or perfect Lender's security interest in the collateral; and take any other action deemed necessary by Lender without the consent of or notice to anyone. All such parties also agree that Lender may modify this loan without the consent of or notice to anyone other than the party with whom the modification is made. The obligations under this Note are joint and several. If any portion of this Note is for any reason determined to be unenforceable, it will not affect the enforceability of any other provisions of this Note. CONFESSION OF JUDGMENT. BORROWER HEREBY IRREVOCABLY AUTHORIZES AND EMPOWERS ANY ATTORNEY OR THE PROTHONOTARY OR CLERK OF ANY COURT IN THE COMMONWEALTH OF PENNSYLVANIA, OR ELSEWHERE, TO APPEAR AT ANY TIME FOR BORROWER AFTER A DEFAULT UNDER THIS NOTE AND WITH OR WITHOUT COMPLAINT FILED, CONFESS OR ENTER JUDGMENT AGAINST BORROWER FOR THE ENTIRE PRINCIPAL BALANCE OF THIS NOTE AND ALL ACCRUED INTEREST, LATE CHARGES AND ANY AND ALL AMOUNTS EXPENDED OR ADVANCED BY LENDER RELATING TO ANY COLLATERAL SECURING THIS NOTE, TOGETHER WITH COSTS OF SUIT, AND AN ATTORNEY'S COMMISSION OF TEN PERCENT (10 %) OF THE UNPAID PRINCIPAL BALANCE AND ACCRUED INTEREST FOR COLLECTION, BUT IN ANY EVENT NOT LESS THAN FIVE HUNDRED DOLLARS ($500) ON WHICH JUDGMENT OR JUDGMENTS ONE OR MORE EXECUTIONS MAY ISSUE IMMEDIATELY; AND FOR SO DOING, THIS NOTE OR A COPY OF THIS NOTE VERIFIED BY AFFIDAVIT SHALL BE SUFFICIENT WARRANT. THE AUTHORITY GRANTED IN THIS NOTE TO CONFESS JUDGMENT AGAINST BORROWER SHALL NOT BE EXHAUSTED BY ANY EXERCISE OF THAT AUTHORITY, BUT SHALL CONTINUE FROM TIME TO TIME AND AT ALL TIMES UNTIL PAYMENT IN FULL OF ALL AMOUNTS DUE UNDER THIS NOTE. BORROWER HEREBY WAIVES ANY RIGHT BORROWER MAY HAVE TO NOTICE OR TO A HEARING IN CONNECTION WITH ANY SUCH CONFESSION OF JUDGMENT AND STATES THAT EITHER A REPRESENTATIVE OF LENDER SPECIFICALLY CALLED THIS CONFESSION OF JUDGMENT PROVISION TO BORROWER'S ATTENTION OR BORROWER HAS BEEN REPRESENTED BY INDEPENDENT LEGAL COUNSEL. A PROMISSORY NOTE Loan No: 6159818 (Continued) Page 4 PRIOR TO SIGNING THIS NOTE, BORROWER READ AND UNDERSTOOD ALL THE PROVISIONS OF THIS NOTE, INCLUDING THE VARIABLE INTEREST RATE PROVISIONS. BORROWER AGREES TO THE TERMS OF THE NOTE. BORROWER ACKNOWLEDGES RECEIPT OF A COMPLETED COPY OF THIS PROMISSORY NOTE. THIS NOTE IS GIVEN UNDER SEAL AND IT IS INTENDED THAT THIS NOTE IS AND SHALL CONSTITUTE AND HAVE THE EFFECT OF A SEALED INSTRUMENT ACCORDING TO LAW. BORROWER: JCB ASSOCIATES, LLCC'' Jennifer S. Be n, Member of JCB Associates, LLC LASER PRO Lendin0, Ve,. 6.36.10.Ml Cap,. Harbnd Fl .... W Solutions, lno. 1097. 2007. AN MOM, Reto,ved. • PA CAPR05OtTnCFlXLPLtO20.PC 7"96 PR•10 PLAINTIFF'S E IBIT g E m c SERRATELLI SCHIFFMAN & BROWN P.c. May 16, 2013 Via Certified Mail, R.R.R. & Regular Mail JCB Associates, LLC JENI S. MADDEN 805 Locust Grove Road tel717.635.292o Elizabethtown, PA 17022 fax 7 Re: Our client, Centric Bank jmadden @sssc- LAw.coM Your Loan Nos. 6160998, 6160907, 6159818, 6180228 ( "the Loans ") 2080 LINGLESTOWN RD. STE 2oI Dear Sir or Madam: AARRISBIIRG, PA 17110 -9 6 70 Please be advised that the above - referenced Loans have been referred to this tel 717.54.0.9170 law firm for collection as the result of your default under the terms of the promissory fax 717.540.5481 notes. Centric Bank has directed this firm to enter judgment by confession against WWW.SSBC- LAW.COM you on the Loans in question, in accordance with the confession of judgment provisions included in the Loan documents. You have repeatedly failed to make timely payments on Loan 6160998 and Loan 6160907. Said payment defaults also constitute a default under the terms of your promissory notes for Loan 6159818 and Loan 6180228. Therefore, this letter is to notify you that you are in default under the terms of the Loan Documents for the Loans. The defaults must be cured within fifteen (15) days of this letter. As of the date of this letter, the following amounts are due: LOAN # 6160998 6160907 6159818 6180228 Principal $ 620.75 $1,779.20 $ 761.97 $ Interest $2,078.81 $1,073.49 $1,167.76 $2 15 : 95 Late Fees $ 322.30 $ 171.09 $ $ I TOTAL $3,021.86 $3,023.78 $1,929.73 $215.95 If the defaults are not cured within fifteen (15) days of the date of this letter, Centric Bank has directed this firm to commence proceedings to enter judgment by confession against you on the Loans in question in accordance with the confession SERRATELLI SCHIFFMAN & BROWN r.c. JCB Associates, LLC May 16, 2013 Page Two of judgment provisions included in the Loan Documents. In addition, your default subjects you to late charges, additional interest at an accelerated rate, and other adverse financial consequences. Nothing contained in this letter is intended as a waiver or a release of any of the terms or provisions of your Loan Documents, including without limitation, the requirement that you, the Borrower, pay on demand any amounts so payable under the provisions of the instrument evidencing the same. Centric Bank reserves all rights and remedies available to it under the Loan Documents, and applicable law, all of which are hereby expressly reserved. No discussions between Centric Bank and the Borrower concerning this notification, other relationships between the Bank and the Borrower, or any other matter shall imply an agreement on the part of Bank to waive any of its rights and remedies, or to forbear from taking any action authorized by the Loan Documents or applicable law, regardless of whether such discussions are continuing. The acceptance of a partial payment of any of the obligations of the Borrower to Bank shall not be deemed a waiver or limitation of any of the Bank's rights reserved herein as to the full amount of any unpaid balance. Any delay or forbearance by Bank in the enforcement or pursuit of any of its rights and remedies under the Loan Documents or applicable law shall not constitute a waiver and thereof, nor shall it be a bar to the exercise of Bank's rights or remedies at a later date. Please be guided accordingly. Sincerely, SERRATELLI, SCHIFFMAN, & BROWN & P. C. J S. Madden, Esq. Cc: Sascha C. Leftault, Centric Bank SERRATELLI SCHIFFMAN & BROWN r.c. May 16, 2012 Via Certified Mail, R.R.R. & Regular Mail Jennifer S. Bean JENI S. MADDEN 805 Locust Grove Road tel 717.635.2920 Elizabethtown, PA 17022 fax 7 6 35. 2 95 0 jmadden @sssc- LAW.coM Re: Our client, Centric Bank Your Loan Nos. 6160998, 6160907, 6159818, 6180228 ( "the Loans ") 2080 LINGLESTOWN RD. STE 201 HARRISBURG, PA 17110 -967o Dear Ms. Bean: tel 170 7 fax 717.540.9170 Please be advised that this firm represents Centric Bank with regard to the above - referenced matter. As you are aware, you executed guaranties on the above - WWW.SSBC- LAW.00M referenced Loans, thereby guarantying the performance of these Loans. This letter serves as your notice that Centric Bank has called the above - referenced Loans into default due to the borrowers' failure to comply with the term of th Loan documents. JCB Associates, LLC ("the Borrower ") has failed to make timely payments on Loan 6160998 and Loan 6160907 in accordance with the Loan Documents. Said payment defaults also constitute a default under the terms of the Loan Documents for Loan 6159818 and Loan 6180228. The defaults must be within fifteen (15) days of this letter. As of the date of this letter, the following amounts are due: LOAN 4 6160998 6160907 6159818 6180228 Principal $ 620.75 $1, 779.20 $ 761.97 $ _ _ Interest $2,078.81 $1,073.49 $1,167.76 $215.95 Late Fees $ 322.30 $ 171.09 $ $ TOTAL $3,021.86 $3,023.78 $1,929.73 $215.95 SERRATELLI SCHIFFMAN & BROWN r.c. Jennifer S. Bean May 16, 2013 Page Two If the defaults are not cured within fifteen (15) days of the date of this letter, Centric Bank has directed this firm to commence proceedings to enter judgment by confession against you on the Loans in question in accordance with the confession of judgment provisions included in the Loan documents. In addition, as a guarantor of these loans, you will be subject to late charges, additional interest at an accelerated rate, and other adverse financial consequences. Nothing contained in this letter is intended as a waiver or a release of any of the terms or provisions of your Loan Documents, including without limitation, the requirement that you, the Guarantor, pay on demand any amounts so payable under the provisions of the instrument evidencing the same. Centric Bank reserves all rights and remedies available to it under the Loan Documents, and applicable law, all of which are hereby expressly reserved. No discussions-between the Bank and the Guarantor concerning this notification, other relationships between the Bank and the Guarantor, or any other matter shall imply an agreement on the part of Bank.to waive any of its rights and remedies, or to forbear from taking any action authorized by the Loan Documents or applicable law, regardless of whether such discussions are continuing. The acceptance of a partial payment of any of the obligations of the Guarantor to Bank shall not be deemed a waiver or limitation of any of the Bank's rights reserved herein as to the full amount of any unpaid balance. Any delay or forbearance by Bank in the enforcement or pursuit of any of its rights and remedies under the Loan Documents or applicable law shall not constitute a waiver and thereof, nor shall it be a bar to the exercise of Bank's rights or remedies at a later date. Please be guided accordingly. Sincerely, SERRATELLI, SCHIFFMAN & BROWN & P. C. Jeri . Madden, Esq. Cc: Sascha C. Leftault, Centric Bank SERRATELLI SCHIFFMAN & BROWN P.c. 17 May 16, 2012 Via Certified Mail, R.R.R. & Regular Mail Christopher M. Bean JENI S. MADDEN 805 Locust Grove Road tel 717.635.2920 Elizabethtown, PA 17022 fax 717.635.2950 jmadden@ssBc-LAw.com Re: Our client, Centric Bank Your Loan Nos. 6160998, 6160907, 6159818, 6180228 ( "the Loans ") 2080 LINGLESTOWN RD. STE 201 HARRISBURG, PA 171 10 -9 6 70 Dear Mr. Bean: tel 717.540.9170 Please be advised that this firm represents Centric Bank with regard to the fax 717.540-5481 above - referenced matter. As you are aware, you executed guaranties on the above - WWW.SSBC- LAW.COM referenced Loans, thereby guarantying the performance of these Loans. This letter serves as your notice that Centric Bank has called the above - referenced Loans into default due to the borrowers' failure to comply with the terms of the Lo documents. JCB Associates, LLC ( "the Borrower ") has failed to make timely payments on Loan 6160998 and Loan 6160907 in accordance with the Loan Documents. Said payment defaults also constitute a default under the terms of the Loan Documents for Loan 6159818 and Loan 6180228. The defaults must be within fifteen (15) days of this letter. As of the date of this letter, the following amounts are due: LOAN # 6160998 6160907 6159818 6180228 Principal $ 620.75 $1,779.20 $ 761.97 $ Interest $2,078.81 $1,073.49 $1,167.76 $215.95 Late Fees $ 322.30 $ 171.09 $ $ TOTAL $3,021.86 $3,023.78 1$1,929.73 1$215.95 SERRATELLI SCHIFFMAN & BROWN r.c. Christopher M. Bean May 16, 2013 Page Two If the defaults are not cured within fifteen (15) days of the date of this letter, Centric Bank has directed this firm to commence proceedings to enter judgment by confession against you on the Loans in question in accordance with the confession of judgment provisions included in the Loan documents. In addition, as a guarantor of these loans, you will be subject to late charges, additional interest at an accelerated rate, and other adverse financial consequences. Nothing contained in this letter is intended as a waiver or a release of any of the terms or provisions of your Loan Documents, including without limitation, the requirement that you, the Guarantor, pay on demand any amounts so payable under the provisions of the instrument evidencing the same. Centric Bank reserves all rights and remedies available to it under the Loan Documents, and applicable law, all of which are hereby expressly reserved. No discussions between the Bank and the Guarantor concerning this notification, other relationships between the Bank and the Guarantor, or any other matter shall imply an agreement on the part of Bank to waive any of its rights and remedies, or to forbear from taking any action authorized by the Loan Documents or applicable law, regardless of whether such discussions are continuing. The acceptance of a partial payment of any of the obligations of the Guarantor to Bank shall not be deemed a waiver or limitation of any of the Bank's rights reserved herein as to the full amount of any unpaid balance. Any delay or forbearance by Bank in the enforcement or pursuit of any of its rights and remedies under the Loan Documents or applicable law shall not constitute a waiver and thereof, nor shall it be a bar to the exercise of Bank's rights or remedies at a later. date. Please be guided accordingly. Sincerely, SERRATELLI, SCHIFFIMN, & BROWN & P. C. �1 a Jeri' . Madden, Esq. Cc: Sascha C. Leftault, Centric Bank 3 � PLAINTIFF'S z EXHIBIT E COMMERCIAL GUARAN'. .:::;: ::::.:.:....:. .....::: .............:,. ::::::: -..::. ,. »::;5s:;:::::: >;i ?;:: >;:::;;.`:: :ztiiSi;ir:at::> Col:: 3i:: <: >:: >:::<<::: »:<:::fY`.....i�: rT ?::<:;: st):...... :} :: >: j..... „.:,_„ grin i ai ....................... . n.. tg...............hlF� #u...... ........................ 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References in the boxes above are for Lender's use only and do not limit the applicability of this document to any particular loan or item. Any item above containing "* * *” has been omitted due to text length limitations. Borrower JCB Associates, LLC Lender: CENTRIC BANK, N.A. 805 Locust Grove Road Harrisburg Office Elizabethtown, PA 17022 Corporate Headquarters 3601 Vartan Way Harrisburg, PA 17110 (717) 657 -7727 Guarantor Christopher M. Bean 805 Locust Grove Road Elizabethtown, PA 17022 CONTINUING GUARANTEE OF PAYMENT AND PERFORMANCE. For good and valuable consideration, Guarantor absolutely and unconditionally guarantees full and punctual payment and satisfaction of the Indebtedness of Borrower to Lender, and the performance and discharge of all Borrower's obligations under the Note and the Related Documents. This is a guaranty of payment and performance and not of collection, so Lender can enforce this Guaranty against Guarantor even when Lender has not exhausted Lender's remedies against anyone else obligated to pay the Indebtedness or against any collateral securing the Indebtedness, this Guaranty or any other guaranty of the Indebtedness. Guarantor will make any payments to Lender or its order, on demand, in legal tender of the United States of America, in same -day funds, without set -off or deduction or counterclaim, and will otherwise perform Borrower's obligations under the Note and Related Documents. Under this Guaranty, Guarantor's liability is unlimited and Guarantor's obligations are continuing. INDEBTEDNESS. The word "Indebtedness" as used in this Guaranty means all of the principal amount outstanding from time to time and at any one or more times, accrued unpaid interest thereon and all collection costs and legal expenses related thereto permitted by law, reasonable attorneys' fees, arising from any and all debts, liabilities and obligations of every nature or form, now existing or hereafter arising or acquired, that Borrower individually or collectively or interchangeably with others, owes or will owe Lender. "Indebtedness" includes, without limitation, loans, advances, debts, overdraft indebtedness, credit card indebtedness, lease obligations, liabilities and obligations under any interest rate protection agreements or foreign currency exchange agreements or commodity price protection agreements, other obligations, and liabilities of Borrower, and any present or future judgments against Borrower, future advances, loans or transactions that renew, extend, modify, refinance, consolidate or substitute these debts, liabilities and obligations whether: voluntarily or involuntarily incurred; due or to become due by their terms or acceleration; absolute or contingent; liquidated or unliquidated; determined or undetermined; direct or indirect; primary or secondary in nature or arising from a guaranty or surety; secured or unsecured; joint or several or joint and several; evidenced by a negotiable or non - negotiable instrument or writing; originated by Lender or another or others; barred or unenforceable against Borrower for any reason whatsoever; for any transactions that may be voidable for any reason (such as infancy, insanity, ultra vires or otherwise); and originated then reduced or extinguished and then afterwards increased or reinstated. If Lender presently holds one or more guaranties, or hereafter receives additional guaranties from Guarantor, Lender's rights under all guaranties shall be cumulative. This Guaranty shall not (unless specifically provided below to the contrary) affect or invalidate any such other guaranties. Guarantor's liability will be Guarantor's aggregate liability under the terms of this Guaranty and any such other unterminated guaranties. CONTINUING GUARANTY. THIS IS A "CONTINUING GUARANTY" UNDER WHICH GUARANTOR AGREES TO GUARANTEE THE FULL AND PUNCTUAL PAYMENT, PERFORMANCE AND SATISFACTION OF THE INDEBTEDNESS OF BORROWER TO LENDER, NOW EXISTING OR HEREAFTER ARISING OR ACQUIRED, ON AN OPEN AND CONTINUING BASIS. ACCORDINGLY, ANY PAYMENTS MADE ON THE INDEBTEDNESS WILL NOT DISCHARGE OR DIMINISH GUARANTOR'S OBLIGATIONS AND LIABILITY UNDER THIS GUARANTY FOR ANY REMAINING AND SUCCEEDING INDEBTEDNESS EVEN WHEN ALL OR PART OF THE OUTSTANDING INDEBTEDNESS MAY BE A ZERO BALANCE FROM TIME TO TIME, DURATION OF GUARANTY. This Guaranty will take effect when received by Lender without the necessity of any acceptance by Lender, or any notice to Guarantor or to Borrower, and will continue in full force until all the Indebtedness incurred or contracted before receipt by Lender of any notice of revocation shall have been fully and finally paid and satisfied and all of Guarantor's other obligations under this Guaranty shall have been performed in full. If Guarantor elects to revoke this Guaranty, Guarantor may only do so in writing. Guarantor's written notice of revocation must be mailed to Lender, by certified mail, at Lender's address listed above or such other place as Lender may designate in writing. Written revocation of this Guaranty will apply only to new Indebtedness created after actual receipt by Lender of Guarantor's written revocation. For this purpose and without limitation, the term "new Indebtedness" does not include the Indebtedness which at the time of notice of revocation is contingent, unliquidated, undetermined or not due and which later becomes absolute, liquidated, determined or due. For this purpose and without limitation, "new Indebtedness" does not include all or part of the Indebtedness that is: incurred by Borrower prior to revocation; incurred under a commitment that became binding before revocation; any renewals, extensions, substitutions, and modifications of the Indebtedness. This Guaranty shall bind Guarantor's estate as to the Indebtedness created both before and after Guarantor's death or incapacity, regardless of Lender's actual notice of Guarantor's death. Subject to the foregoing, Guarantor's executor or administrator or other legal representative may terminate this Guaranty in the same manner in which Guarantor might have terminated it and with the same effect. Release of any other guarantor or termination of any other guaranty of the Indebtedness shall not affect the liability of Guarantor under this Guaranty. A revocation Lender receives from any one or more Guarantors shall not affect the liability of any remaining Guarantors under this Guaranty. It is anticipated that fluctuations may occur in the aggregate amount of the Indebtedness covered by this Guaranty, and Guarantor specifically acknowledges and agrees that reductions in the amount of the Indebtedness, even to zero dollars ($0.00), shall not constitute a termination of this Guaranty. This Guaranty is binding upon Guarantor and Guarantor's heirs, successors and assigns so long as any of the Indebtedness remains unpaid and even though the Indebtedness may from time to time be zero dollars ($0.00). GUARANTOR'S AUTHORIZATION TO LENDER. Guarantor authorizes Lender, either before or after any revocation hereof, without notice or demand and without lessening Guarantor's liability under this Guaranty, from time to time: (A) prior to revocation as set forth above, to make one or more additional secured or unsecured loans to Borrower, to lease equipment or other goods to Borrower, or otherwise to extend additional credit to Borrower; (B) to alter, compromise, renew, extend, accelerate, or otherwise change one or more times the time for payment or other terms of the Indebtedness or any part of the Indebtedness, including increases and decreases of the rate of interest on the Indebtedness; extensions may be repeated and may be for longer than the original loan tern; (C) to take and hold security for the payment of this Guaranty or the Indebtedness, and exchange, enforce, waive, subordinate, fail or decide not to perfect, and release any such security, with or without the substitution of new collateral; (D) to release, substitute, agree not to sue, or deal with any one or more of Borrower's sureties, endorsers, or other guarantors on any terms or in any manner Lender may choose; (E) to determine how, when and what application of payments and credits shall be made on the Indebtedness; (F) to apply such security and direct the order or manner of sale thereof, including without limitation, any nonjudicial sale permitted by the terms of the controlling security agreement or deed of trust, as Lender in its discretion l COMMERCIAL GUARANTI Loan No: 6159818 (Continued) Page 2 may determine; (G) to sell, transfer, assign or grant participations in all or any part of the Indebtedness; and (H) to assign or transfer this Guaranty in whole or in part. GUARANTOR'S REPRESENTATIONS AND WARRANTIES. Guarantor represents and warrants to Lender that (A) no representations or agreements of any kind have been made to Guarantor which would limit or qualify in any way the terms of this Guaranty; (B) this Guaranty is executed at Borrower's request and not at the request of Lender; (C) Guarantor has full power, right and authority to enter into this Guaranty; (D) the provisions of this Guaranty do not conflict with or result in a default under any agreement or other instrument binding upon Guarantor and do not result in a violation of any law, regulation, court decree or order applicable to Guarantor; (E) Guarantor has not and will not, without the prior written consent of Lender, sell, lease, assign, encumber, hypothecate, transfer, or otherwise dispose of all or substantially all of Guarantor's assets, or any interest therein; (F) upon Lender's request, Guarantor will provide to Lender financial and credit information in form acceptable to Lender, and all such financial information which currently has been, and all future financial information which will be provided to Lender is and will be true and correct in all material respects and fairly present Guarantor's financial condition as of the dates the financial information is provided; (G) no material adverse change has occurred in Guarantor's financial condition since the date of the most recent financial statements provided to Lender and no event has occurred which may materially adversely affect Guarantor's financial condition; (H) no litigation, claim, investigation, administrative proceeding or similar action (including those for unpaid taxes) against Guarantor is pending or threatened; (1) Lender has made no representation to Guarantor as to the creditworthiness of Borrower; and (J) Guarantor has established adequate means of obtaining from Borrower on a continuing basis information regarding Borrower's financial condition. Guarantor agrees to keep adequately informed from such means of any facts, events, or circumstances which might in any way affect Guarantor's risks under this Guaranty, and Guarantor further agrees that Lender shall have no obligation to disclose to Guarantor any information or documents acquired by Lender in the course of its relationship with Borrower. GUARANTOR'S FINANCIAL STATEMENTS. Guarantor agrees to furnish Lender with the following: Tax Returns. As soon as available, but in no event later than sixty (60) days after the applicable tiling date for the tax reporting period ended, Federal and other governmental tax returns, prepared by a certified public accountant satisfactory to Lender. Additional Requirements. Annual Personal Financial Statement. All financial reports required to be provided under this Guaranty shall be prepared in accordance with GAAP, applied on a consistent basis, and certified by Guarantor as being true and correct. GUARANTOR'S WAIVERS. Except as prohibited by applicable law, Guarantor waives any right to require Lender (A) to continue lending money or to extend other credit to Borrower; (B) to make any presentment, protest, demand, or notice of any kind, including notice of any nonpayment of the Indebtedness or of any nonpayment related to any collateral, or notice of any action or nonaction on the part of Borrower, Lender, any surety, endorser, or other guarantor in connection with the Indebtedness or in connection with the creation of new or additional loans or obligations; (C) to resort for payment or to proceed directly or at once against any person, including Borrower or any other guarantor; (D) to proceed directly against or exhaust any collateral held by Lender from Borrower, any other guarantor, or any other person; (E) to give notice of the terms, time, and place of any public or private sale of personal property security held by Lender from Borrower or to comply with any other applicable provisions of the Uniform Commercial Code; (F) to pursue any other remedy within Lender's power; or (G) to commit any act or omission of any kind, or at any time, with respect to any matter whatsoever. Guarantor also waives any and all rights or defenses based on suretyship or impairment of collateral including, but not limited to, any rights or defenses arising by reason of (A) any "one action" or "anti- deficiency" law or any other law which may prevent Lender from bringing any action, including a claim for deficiency, against Guarantor, before or after Lender's commencement or completion of any foreclosure action, either judicially or by exercise of a power of sale; (B) any election of remedies by Lender which destroys or otherwise adversely affects Guarantor's subrogation rights or Guarantor's rights to proceed against Borrower for reimbursement, including without limitation, any loss of rights Guarantor may suffer by reason of any law limiting, qualifying, or discharging the Indebtedness; (C) any disability or other defense of Borrower, of any other guarantor, or of any other person, or by reason of the cessation of Borrower's liability from any cause whatsoever, other than payment in full in legal tender, of the Indebtedness; (D) any right to claim discharge of the Indebtedness on the basis of unjustified impairment of any collateral for the Indebtedness; (E) any statute of limitations, if at any time any action or suit brought by Lender against Guarantor is commenced, there is outstanding Indebtedness which is not barred by any applicable statute of limitations; or (F) any defenses given to guarantors at law or in equity other than actual payment and performance of the Indebtedness. If payment is made by Borrower, whether voluntarily or otherwise, or by any third party, on the Indebtedness and thereafter Lender is forced to remit the amount of that payment to Borrower's trustee in bankruptcy or to any similar person under any federal or state bankruptcy law or law for the relief of debtors, the Indebtedness shall be considered unpaid for the purpose of the enforcement of this Guaranty. Guarantor further waives and agrees not to assert or claim at any time any deductions to the amount guaranteed under this Guaranty for any claim of setoff, counterclaim, counter demand, recoupment or similar right, whether such claim, demand or right may be asserted by the Borrower, the Guarantor, or both. GUARANTOR'S UNDERSTANDING WITH RESPECT TO WAIVERS. Guarantor warrants and agrees that each of the waivers set forth above is made with Guarantor's full knowledge of its significance and consequences and that, under the circumstances, the waivers are reasonable and not contrary to public policy or law. If any such waiver is determined to be contrary to any applicable law or public policy, such waiver shall be effective only to the extent permitted by law or public policy. RIGHT OF SETOFF. To the extent permitted by applicable law, Lender reserves a right of setoff in all Guarantor's accounts with Lender (whether checking, savings, or some other account). This includes all accounts Guarantor holds jointly with someone else and all accounts Guarantor may open in the future. However, this does not include any IRA or Keogh accounts, or any trust accounts for which setoff would be prohibited by law. Guarantor authorizes Lender, to the extent permitted by applicable law, to hold these funds if there is a default, and Lender may apply the funds in these accounts to pay what Guarantor owes under the terms of this Guaranty. SUBORDINATION OF BORROWER'S DEBTS TO GUARANTOR. Guarantor agrees that the Indebtedness, whether now existing or hereafter created, shall be superior to any claim that Guarantor may now have or hereafter acquire against Borrower, whether or not Borrower becomes insolvent. Guarantor hereby expressly subordinates any claim Guarantor may have against Borrower, upon any account whatsoever, to any claim that Lender may now or hereafter have against Borrower. In the event of insolvency and consequent liquidation of the assets of Borrower, through bankruptcy, by an assignment for the benefit of creditors, by voluntary liquidation, or otherwise, the assets of Borrower applicable to the payment of the claims of both Lender and Guarantor shall be paid to Lender and shall be first applied by Lender to the Indebtedness. Guarantor does hereby assign to Lender all claims which it may have or acquire against Borrower or against any assignee or trustee in bankruptcy of Borrower; provided however, that such assignment shall be effective only for the purpose of assuring to Lender full payment in legal tender of the Indebtedness. If Lender so requests, any notes or credit agreements now or hereafter evidencing any debts or obligations of Borrower to Guarantor shall be marked with a legend that the same are subject to this Guaranty and shall be delivered to Lender. Guarantor agrees, and Lender is hereby authorized, in the name of Guarantor, from time to time to file financing statements and continuation statements and to execute documents and to take such other actions as Lender deems necessary or appropriate to perfect, preserve and enforce its rights under this Guaranty. COMMERCIAL GUARANTI Loan No: 6159818 (Continued) Page 3 MISCELLANEOUS PROVISIONS. The following miscellaneous provisions are a part of this Guaranty: Amendments. This Guaranty, together with any Related Documents, constitutes the entire understanding and agreement of the parties as to the matters set forth in this Guaranty. No alteration of or amendment to this Guaranty shall be effective unless.given in writing and signed by the party or parties sought to be charged or bound by the alteration or amendment. Attorneys' Fees; Expenses. Guarantor agrees to pay upon demand all of Lender's costs and expenses, including Lendergs reasonable attorneys' fees and Lender's legal expenses, incurred in connection with the enforcement of this Guaranty. Lender may hire or pay someone else to help enforce this Guaranty, and Guarantor shall pay the costs and expenses of such enforcement. Costs and expenses include Lender's reasonable attorneys' fees and legal expenses whether or not there is a lawsuit, including reasonable attorneys' fees and legal expenses for bankruptcy proceedings (including efforts to modify or vacate any automatic stay or injunction), appeals, and any anticipated post- judgment collection services. Guarantor also shall pay all court costs and such additional fees as may be directed by the court. Caption Headings. Caption headings in this Guaranty are for convenience purposes only and are not to be used to interpret or define the provisions of this Guaranty. Governing Law. This Guaranty will be governed by federal law applicable to Lender and, to the extent not preempted by federal law, the laws of the Commonwealth of Pennsylvania without regard to its conflicts of law provisions. Choice of Venue. If there is a lawsuit, Guarantor agrees upon Lender's request to submit to the jurisdiction of the courts of Dauphin County, Commonwealth of Pennsylvania. Integration. Guarantor further agrees that Guarantor has read and fully understands the terms of this Guaranty; Guarantor has had the opportunity to be advised by Guarantor's attorney with respect to this Guaranty; the Guaranty fully reflects Guarantor's intentions and parol evidence is not required to interpret the terms of this Guaranty. Guarantor hereby indemnifies and holds Lender harmless from all losses, claims, damages, and costs (including Lender's attorneys' fees) suffered or incurred by Lender as a result of any breach by Guarantor of the warranties, representations and agreements of this paragraph. Interpretation. In all cases where there is more than one Borrower or Guarantor, then all words used in this Guaranty in the singular shall be deemed to have been used in the plural where the context and construction so require; and where there is more than one Borrower named in this Guaranty or when this Guaranty is executed by more than one Guarantor, the words "Borrower" and "Guarantor" respectively shall mean all and any one or more of them. The words "Guarantor," "Borrower," and "Lender" include the heirs, successors, assigns, and transferees of each of them. If a court finds that any provision of this Guaranty is not valid or should not be enforced, that fact by itself will not mean that the rest of this Guaranty will not be valid or enforced. Therefore, a court will enforce the rest of the provisions of this Guaranty even if a provision of this Guaranty may be found to be invalid or unenforceable. if any one or more of Borrower or Guarantor are corporations, partnerships, limited liability companies, or similar entities, it is not necessary.for Lender to inquire into the powers of Borrower or Guarantor or of the officers, directors, partners, managers, or other agents acting or purporting to act on their behalf, and any indebtedness made or created in reliance upon the professed exercise of such powers shall be guaranteed under this Guaranty. Notices. Unless otherwise provided by applicable law, any notice required to be given under this Guaranty shall be given in writing, and, except for revocation notices by Guarantor, shall be effective when actually delivered, when actually received by telefacsimile /unless otherwise required by law), when deposited with a nationally recognized overnight courier, or, if mailed, when deposited in the United States mail, as first class, certified or registered mail postage prepaid, directed to the addresses shown near the beginning of this Guaranty. All revocation notices by Guarantor shall be in writing and shall be effective upon delivery to Lender as provided in the section of this Guaranty entitled "DURATION OF GUARANTY." Any party may change its address for notices under this Guaranty by giving formal written notice to the other parties, specifying that the purpose of the notice is to change the party's address. For notice purposes, Guarantor agrees to keep Lender informed at all times of Guarantor's current address. Unless otherwise provided by applicable law, if there is more than one Guarantor, any notice given by Lender to any Guarantor is deemed to be notice given to all Guarantors. No Waiver by Lender. Lender shall not be deemed to have waived any rights under this Guaranty unless such waiver is given in writing and signed by Lender. No delay or omission on the part of Lender in exercising any right shall operate as a waiver of such right or any other right. A waiver by Lender of a provision of this Guaranty shall not prejudice or constitute a waiver of Lender's right otherwise to demand strict compliance with that provision or any other provision of this Guaranty. No prior waiver by Lender, nor any course of dealing between Lender and Guarantor, shall constitute a waiver of any of Lender's rights or of any of Guarantor's obligations as to any future transactions. Whenever the consent of Lender is required under this Guaranty, the granting of such consent by Lender in any instance shall not constitute continuing consent to subsequent instances where such consent is required and in all cases such consent may be granted or withheld in the sole discretion of Lender. Successors and Assigns. The terms of this Guaranty shall be binding upon Guarantor, and upon Guarantor's heirs, personal representatives, successors, and assigns, and shall be enforceable by Lender and its successors and assigns. CERTIFICATION AND AGREEMENT FOR CONTINUING PERFECTION AND COMPLIANCE. Whereas, the undersigned has applied to CENTRIC BANK, N.A., (the "Bank ") for a certain loan and /or financial accommodations and Whereas, the Bank has agreed to make the aforesaid loan, but only upon the conditions contained in the Commitment Letter (hereinafter called the "Loan Agreement "), and Whereas the undersigned deem(s) it in (their) best interest to obtain the aforesaid loan, Now therefore, in consideration of these premises and other good and valuable consideration, it is agreed as follows: 1) The undersigned will perform any and all steps requested by the Bank to: (a) create and maintain in the Bank's favor a valid lien and security interest in the collateral to be pledged to Bank pursuant to the terms of the Loan Agreement, including, but without limitation, the execution, delivery, filing and /or recording of promissory notes, guarantees, mortgages, security agreements, fianancing statements, continuation statements and the like, necessary in the opinion of Bank's counsel to effectuate the terms of the Loan Agreement, (b) execute and deliver any other documents necessary, in the opinion of the Bank's counsel, to complete, perfect and continue, but not to modify or change the terms of the Loan Agreement, and (c) the undersigned Borrower agrees, in consideration of CENTRIC BANK, N.A., the Lender disbursing funds for the closing of a loan on Borrower if requested by the Lender or any party acting on behalf of the Lender, to fully cooperate and adjust for clerical errors, any and all closing documentation deemed necessary or desirable in the reasonable discretion of Lender to enable Lender or to ensure enforceability of the loan if dept in lender's own portfolio. The undersigned Borrower agrees to comply with all the above noted requests by Lender within 30 days from the date of mailing said request by the Lender. The Borrower agrees to assume all costs, including, by way of illustration and not limitation, actual expenses, legal fees and marketing losses for failing to comply with lender's requests in the above noted time period. The undersigned Borrower does hereby agree and covenant in order to assure that loan documentation exuecuted this day will conform and be acceptable in the marketplace in the instance of transfer, sale or conveyance by Lender of its interest in and to said loan documentation. 2) The undersigned agrees that terms, provisions and conditions set forth in the Loan Agreement, to the extent that same are not contained in the final documents or have not been fully complied with by the time of the disbursement of loan proceeds to the undersigned by the Bank. shall survive the closing of the loan. 3) The undersigned further agrees to provide the Bank with and/or certifies to the Bank (a) since the date of the application for the loan which is being closed concurrently with the delivery hereof ( "Closing ") there has been no COMMERCIAL GUARANTI Loan No: 6159818 (Continued) Page 4 unremedied adverse change in the financial or any other condition of the Borrower or any of the undersigned, (b) the undersigned received a true and complete copy of each document or other instrument signed in the connection with the closing, (c) all taxes of the .Borrower and undersigned are current and all future taxes will be paid when due. 4) The undersigned acknowledges and agrees that failure to comply with the terms and conditions contained herein, or to furnish the Bank with proof thereof upon Bank's request, shall constitute an act of default under the mortgage and /or security agreement executed by the undersigned in connection with this loan transaction, which default shall entitle Bank to any and all remedies, including the accerlation of the unpaid balance of the loan, set forth in the said mortgage and /or security agreement. DEFINITIONS. The following capitalized words and terms shall have the following meanings when used in this Guaranty. Unless specifically stated to the contrary, all references to dollar amounts shall mean amounts in lawful money of the United States of America. Words and terms used in the singular shall include the plural, and the plural shall include the singular, as the context may require. Words and terms not otherwise defined in this Guaranty shall have the meanings attributed to such terms in the Uniform Commercial Code: Borrower. The word "Borrower" means JCB Associates, LLC and includes all co- signers and co- makers signing the Note and all their successors and assigns. GAAP. The word "GAAP" means generally accepted accounting principles, Guarantor, The word "Guarantor" means everyone signing this Guaranty, including without limitation Christopher M. Bean, and in each case, any signer's successors and assigns. Guaranty. The word "Guaranty" means this guaranty from Guarantor to Lender. Indebtedness. The word "Indebtedness" means Borrower's indebtedness to Lender as more particularly described in this Guaranty. Lender, The word "Lender" means CENTRIC BANK, N.A., its successors and assigns. Note. The word "Note" means and includes without limitation all of Borrower's promissory notes and /or credit agreements evidencing Borrower's loan obligations in favor of Lender, together with all renewals of, extensions of, modifications of, refinancings of, consolidations of and substitutions for promissory notes or credit agreements. Related Documents. The words "Related Documents" mean all promissory notes,. credit agreements, loan agreements, environmental agreements, guaranties, security agreements, mortgages, deeds of trust, security deeds, collateral mortgages, and all other instruments, agreements and documents, whether now or hereafter existing, executed in connection with the Indebtedness. CONFESSION OF JUDGMENT. GUARANTOR HEREBY IRREVOCABLY AUTHORIZES AND EMPOWERS ANY ATTORNEY OR THE PROTHONOTARY OR CLERK OF ANY COURT IN THE COMMONWEALTH OF PENNSYLVANIA, OR ELSEWHERE, TO APPEAR AT ANY TIME FOR GUARANTOR AFTER THE AMOUNTS HEREUNDER BECOME DUE AND WITH OR WITHOUT COMPLAINT FILED, CONFESS OR ENTER JUDGMENT AGAINST GUARANTOR FOR THE ENTIRE PRINCIPAL BALANCE OF THIS GUARANTY AND ALL ACCRUED INTEREST, LATE CHARGES AND ANY AND ALL AMOUNTS EXPENDED OR ADVANCED BY LENDER RELATING TO ANY COLLATERAL SECURING THE INDEBTEDNESS, TOGETHER WITH COSTS OF SUIT, AND AN ATTORNEY'S COMMISSION OF TEN PERCENT (10%) OF THE UNPAID PRINCIPAL BALANCE AND ACCRUED INTEREST FOR COLLECTION, BUT IN ANY EVENT NOT LESS THAN FIVE HUNDRED DOLLARS ($500) ON WHICH JUDGMENT OR JUDGMENTS ONE OR MORE EXECUTIONS MAY ISSUE IMMEDIATELY; AND FOR SO DOING, THIS GUARANTY OR A COPY OF THIS GUARANTY VERIFIED BY AFFIDAVIT SHALL BE SUFFICIENT WARRANT. THE AUTHORITY GRANTED IN THIS GUARANTY TO CONFESS JUDGMENT AGAINST GUARANTOR SHALL NOT BE EXHAUSTED BY ANY EXERCISE OF THAT AUTHORITY, BUT SHALL CONTINUE FROM TIME TO TIME AND AT ALL TIMES UNTIL PAYMENT IN FULL OF ALL AMOUNTS DUE UNDER THIS GUARANTY, GUARANTOR HEREBY WAIVES ANY RIGHT GUARANTOR MAY HAVE TO NOTICE OR TO A HEARING IN CONNECTION WITH ANY SUCH CONFESSION OF JUDGMENT AND STATES THAT EITHER A REPRESENTATIVE OF LENDER SPECIFICALLY CALLED THIS CONFESSION OF JUDGMENT PROVISION TO GUARANTOR'S ATTENTION OR GUARANTOR HAS BEEN REPRESENTED BY INDEPENDENT LEGAL COUNSEL, EACH UNDERSIGNED GUARANTOR ACKNOWLEDGES HAVING READ ALL THE PROVISIONS OF THIS GUARANTY AND AGREES TO ITS TERMS. IN ADDITION, EACH GUARANTOR UNDERSTANDS THAT THIS GUARANTY IS EFFECTIVE UPON GUARANTOR'S EXECUTION AND DELIVERY OF THIS GUARANTY TO LENDER AND THAT THE GUARANTY WILL CONTINUE UNTIL TERMINATED IN THE MANNER SET FORTH IN THE SECTION TITLED "DURATION OF GUARANTY ". NO FORMAL ACCEPTANCE BY LENDER IS NECESSARY TO MAKE THIS GUARANTY EFFECTIVE, THIS GUARANTY IS DATED SEPTEMBER 26, 2007. THIS GUARANTY IS GIVEN UNDER SEAL AND IT IS INTENDED THAT THIS GUARANTY IS AND SHALL CONSTITUTE AND HAVE THE EFFECT OF A S LED INSTRUMENT ACCORDING TO LAW. GU RAN <? Seal istopher M. ea lASEN V110 L,Mlny, Ve,, 9.90.10.001 CAD.. Nadmd Fmncbi SaWfom, Ina. 1997, 2007. Atl RipM� Re,.rve0. PA CiP009URE \CifllPUE30Ft TN•99E DA•10 PLAINTIFF'S EXHIBIT m COMMERCIAL GUARAN". ::::::.:. -:::. ::::::::::::::: :.:::,::::::::::::. -.: -.: : ;;;;;::::::;: :... o. urtt-::::::::::::::::: �facer:::.::::,�niaiat:::: >::. >:. > >:P►ncit; >;: >;s;:;;;;: la: an.. i?. afe ............... Mazurii...... .....................�n�n..io.. ...........................Carl Con Acir ........................ ............................... ........................................ ...............:............... ..:::.... .. 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Borrower: JCB Associates, LLC Lender: CENTRIC BANK, N.A. 805 Locust Grove Road Harrisburg Office Elizabethtown, PA 17022 Corporate Headquarters 3601 Vartan Way Harrisburg, PA 17110 (717) 657 -7727 Guarantor: Jennifer S. Bean 805 Locust Grove Road Elizabethtown, PA 17022 CONTINUING GUARANTEE OF PAYMENT AND PERFORMANCE. For good and valuable consideration, Guarantor absolutely and unconditionally guarantees full and punctual payment and satisfaction of the Indebtedness of Borrower to Lender, and the performance and discharge of all Borrower's obligations under the Note and the Related Documents. This is a guaranty of payment and performance and not of collection, so Lender can enforce this Guaranty against Guarantor even when Lender has not exhausted Lender's remedies against anyone else obligated to pay the Indebtedness or against any collateral securing the Indebtedness, this Guaranty or any other guaranty of the Indebtedness. Guarantor will make any payments to Lender or its order, on demand, in legal tender of the United States of America, in same -day funds, without set -off or deduction or counterclaim, and will otherwise perform Borrower's obligations under the Note and Related Documents. Under this Guaranty, Guarantor's liability is unlimited and Guarantor's obligations are continuing. INDEBTEDNESS. The word "Indebtedness" as used in this Guaranty means all of the principal amount outstanding from time to time and at any one or more times, accrued unpaid interest thereon and all collection costs and legal expenses related thereto permitted by law, reasonable attorneys' fees, arising from any and all debts, liabilities and obligations of every nature or form, now existing or hereafter arising or acquired, that Borrower individually or collectively or interchangeably with others, owes or will owe Lender. "Indebtedness" includes, without limitation, loans, advances, debts, overdraft indebtedness, credit card indebtedness, lease obligations, liabilities and obligations under any interest rate protection agreements or foreign currency exchange agreements or commodity price protection agreements, other obligations, and liabilities of Borrower, and any present or future judgments against Borrower, future advances, loans or transactions that renew, extend, modify, refinance, consolidate or substitute these debts, liabilities and obligations whether: voluntarily or involuntarily incurred; due or to become due by their terms or acceleration; absolute or contingent; liquidated or unliquidated; determined or undetermined; direct or indirect; primary or secondary in nature or arising from a guaranty or surety; secured or unsecured; joint or several or joint and several; evidenced by a negotiable or non- negotiable instrument or writing; originated by Lender or another or others; barred or unenforceable against Borrower for any reason whatsoever; for any transactions that may be voidable for any reason (such as infancy, insanity, ultra vires or otherwise); and originated then reduced or extinguished and then afterwards increased or reinstated. If Lender presently holds one or more guaranties, or hereafter receives additional guaranties from Guarantor, Lender's rights under all guaranties shall be cumulative. This Guaranty shall not (unless specifically provided below to the contrary) affect or invalidate any such other guaranties. Guarantor's liability will be Guarantor's aggregate liability under the terms of this Guaranty and any such other unterminated guaranties. CONTINUING GUARANTY. THIS IS A "CONTINUING GUARANTY" UNDER WHICH GUARANTOR AGREES TO GUARANTEE THE FULL AND PUNCTUAL PAYMENT, PERFORMANCE AND SATISFACTION OF THE INDEBTEDNESS OF BORROWER TO LENDER, NOW EXISTING OR HEREAFTER ARISING OR ACQUIRED, ON AN OPEN AND CONTINUING BASIS. ACCORDINGLY, ANY PAYMENTS MADE ON THE INDEBTEDNESS WILL NOT DISCHARGE OR DIMINISH GUARANTOR'S OBLIGATIONS AND LIABILITY UNDER THIS GUARANTY FOR ANY REMAINING AND SUCCEEDING INDEBTEDNESS EVEN WHEN ALL OR PART OF THE OUTSTANDING INDEBTEDNESS MAY BE A ZERO BALANCE FROM TIME TO TIME. DURATION OF GUARANTY. This Guaranty will take effect when received by Lender without the necessity of any acceptance by Lender, or any notice to Guarantor or to Borrower, and will continue in full force until all the Indebtedness incurred or contracted before receipt by Lender of any notice of revocation shall have been fully and finally paid and satisfied and all of Guarantor's other obligations under this Guaranty shall have been performed in full. If Guarantor elects to revoke this Guaranty, Guarantor may only do so in writing. Guarantor's written notice of revocation must be mailed to Lender, by certified mail, at Lender's address listed above or such other place as Lender may designate in writing. Written revocation of this Guaranty will apply only to new Indebtedness created after actual receipt by Lender of Guarantor's written revocation. For this purpose and without limitation, the term "new Indebtedness" does not include the Indebtedness which at the time of notice of revocation is contingent, unliquidated, undetermined or not due and which later becomes absolute, liquidated, determined or due. For this purpose and without limitation, "new Indebtedness" does not include all or part of the Indebtedness that is: incurred by Borrower prior to revocation; incurred under a commitment that became binding before revocation; any renewals, extensions, substitutions, and modifications of the Indebtedness. This Guaranty shall bind Guarantor's estate as to the Indebtedness created both before and after Guarantor's death or incapacity, regardless of Lender's actual notice of Guarantor's death. Subject to the foregoing, Guarantor's executor or administrator or other legal representative may terminate this Guaranty in the same manner in which Guarantor might have terminated it and with the same effect. Release of any other guarantor or termination of any other guaranty of the Indebtedness shall not affect the liability of Guarantor under this Guaranty. A revocation Lender receives from any one or more Guarantors shall not affect the liability of any remaining Guarantors under this Guaranty. It is anticipated that fluctuations may occur in the aggregate amount of the Indebtedness covered by this Guaranty, and Guarantor specifically acknowledges and agrees that reductions in the amount of the Indebtedness, even to zero dollars ($0.00), shall not constitute a termination of this Guaranty. This Guaranty is binding upon Guarantor and Guarantor's heirs, successors and assigns so long as any of the Indebtedness remains unpaid and even though the Indebtedness may from time to time be zero dollars ($0.00). GUARANTOR'S AUTHORIZATION TO LENDER. Guarantor authorizes Lender, either before or after any revocation hereof, without notice or demand and without lessening Guarantor's liability under this Guaranty, from time to time: (A) prior to revocation as set forth above, to make one or more additional secured or unsecured loans to Borrower, to lease equipment or other goods to Borrower, or otherwise to extend additional credit to Borrower; (B) to alter, compromise, renew, extend, accelerate, or otherwise change one or more times the time for payment or other terms of the Indebtedness or any part of the Indebtedness, including increases and decreases of the rate of interest on the Indebtedness; extensions may be repeated and may be for longer than the original loan term; (C) to take and hold security for the payment of this Guaranty or the Indebtedness, and exchange, enforce, waive, subordinate, fail or decide not to perfect, and release any such security, with or without the substitution of new collateral; (D) to release, substitute, agree not to sue, or deal with any one or more of Borrower's sureties, endorsers, or other guarantors on any terms or in any manner Lender may choose; (E) to determine how, when and what application of payments and credits shall be made on the Indebtedness; (F) to apply such security and direct the order or manner of sale thereof, including without limitation, any nonjudicial sale permitted by the terms of the controlling security agreement or deed of trust, as Lender in its discretion ( COMMERCIAL GUARANTI Loan No: 6159818 (Continued) Page 2 may determine; (G) to sell, transfer, assign or grant participations in all or any part of the Indebtedness; and (H) to assign or transfer this Guaranty in whole or in part. GUARANTOR'S REPRESENTATIONS AND WARRANTIES. Guarantor represents and warrants to Lender that (A) no representations or agreements of any kind have been made to Guarantor which would limit or qualify in any way the terms of this Guaranty; (8) this Guaranty is executed at Borrower's request and not at the request of Lender; (C) Guarantor has full power, right and authority to enter into this Guaranty; (D) the provisions of this Guaranty do not conflict with or result in a default under any agreement or other instrument binding upon Guarantor and do not result in a violation of any law, regulation, court decree or order applicable to Guarantor; (E) Guarantor has not and will not, without the prior written consent of Lender, sell, lease, assign, encumber, hypothecate, transfer, or otherwise dispose of all or substantially all of Guarantor's assets, or any interest therein; (F) upon Lender's request, Guarantor will provide to Lender financial and credit information in form acceptable to Lender, and all such financial information which currently has been, and all future financial information which will be provided to Lender is and will be true and correct in all material respects and fairly present Guarantor's financial condition as of the dates the financial information is provided; (G) no material adverse change has occurred in Guarantor's financial condition since the date of the most recent financial statements provided to Lender and no event has occurred which may materially adversely affect Guarantor's financial condition; (H) no litigation, claim, investigation, administrative proceeding or similar action (including those for unpaid taxes) against Guarantor is pending or threatened; (1) Lender has made no representation to Guarantor as to the creditworthiness of Borrower; and (J) Guarantor has established adequate means of obtaining from Borrower on a continuing basis information regarding Borrower's financial condition. Guarantor agrees to keep adequately informed from such means of any facts, events, or circumstances which might in any way affect Guarantor's risks under this Guaranty, and Guarantor further agrees that Lender shall have no obligation to disclose to Guarantor any information or documents acquired by Lender in the course of its relationship with Borrower. GUARANTOR'S FINANCIAL STATEMENTS. Guarantor agrees to furnish Lender with the following: Tax Returns. As soon as available, but in no event later than sixty (60) days after the applicable filing date for the tax reporting period ended, Federal and other governmental tax returns, prepared by a certified public accountant satisfactory to Lender. Additional Requirements. Annual Personal Financial Statement. All financial reports required to be provided under this Guaranty shall be prepared in accordance with GAAP, applied on a consistent basis, and certified by Guarantor as being true and correct. GUARANTOR'S WAIVERS. Except as prohibited by applicable law, Guarantor waives any right to require Lender (A) to continue lending money or to extend other credit to Borrower; (B) to make any presentment, protest, demand, or notice of any kind, including notice of any nonpayment of the Indebtedness or of any nonpayment related to any collateral, or notice of any action or nonaction on the part of Borrower, Lender, any surety, endorser, or other guarantor in connection with the Indebtedness or in connection with the creation of new or additional loans or obligations; (C) to resort for payment or to proceed directly or at once against any person, including Borrower or any other guarantor; (D) to proceed directly against or exhaust any collateral held by Lender from Borrower, any other guarantor, or any other person; (E) to give notice of the terms, time, and place of any public or private sale of personal property security held by Lender from Borrower or to comply with any other applicable provisions of the Uniform Commercial Code; (F) to pursue any other remedy within Lender's power; or (G) to commit any act or omission of any kind, or at any time, with respect to any matter whatsoever. Guarantor also waives any and all rights or defenses based on suretyship or impairment of collateral including, but not limited to, any rights or defenses arising by reason of (A) any "one action" or "anti - deficiency" law or any other law which may prevent Lender from bringing any action, including a claim for deficiency, against Guarantor, before or after Lender's commencement or completion of any foreclosure action, either judicially or by exercise of a power of sale; (B) any election of remedies by Lender which destroys or otherwise adversely affects Guarantor's subrogation rights or Guarantor's rights to proceed against Borrower for reimbursement, including without limitation, any loss of rights Guarantor may suffer by reason of any law limiting, qualifying, or discharging the Indebtedness; (C) any disability or other defense of Borrower, of any other guarantor, or of any other person, or by reason of the cessation of Borrower's liability from any cause whatsoever, other than payment in full in legal tender, of the Indebtedness; (D) any right to claim discharge of the Indebtedness on the basis of unjustified impairment of any collateral for the Indebtedness; (E) any statute of limitations, if at any time any action or suit brought by Lender against Guarantor is commenced, there is outstanding Indebtedness which is not barred by any applicable statute of limitations; or (F) any defenses given to guarantors at law or in equity other than actual payment and performance of the Indebtedness. If payment is made by Borrower, whether voluntarily or otherwise, or by any third party, on the Indebtedness and thereafter Lender is forced to remit the amount of that payment to Borrower's trustee in bankruptcy or to any similar person under any federal or state bankruptcy law or law for the relief of debtors, the Indebtedness shall be considered unpaid for the purpose of the enforcement of this Guaranty. Guarantor further waives and agrees not to assert or claim at any time any deductions_ to the amount guaranteed under this Guaranty for any claim of setoff, counterclaim, counter demand, recoupment or similar right, whether such claim, demand or right may be asserted by the Borrower, the Guarantor, or both. GUARANTOR'S UNDERSTANDING WITH RESPECT TO WAIVERS. Guarantor warrants and agrees that each of the waivers set forth above is made with Guarantor's full knowledge of its significance and consequences and that, under the circumstances, the waivers are reasonable and not contrary to public policy or law. If any such waiver is determined to be contrary to any applicable law or public policy, such waiver shall be effective only to the extent permitted by law or public policy, RIGHT OF SETOFF. To the extent permitted by applicable law, Lender reserves a right of setoff in all Guarantor's accounts with Lender (whether checking, savings, or some other account). This includes all accounts Guarantor holds jointly with someone else and all accounts Guarantor may open in the future. However, this does not include any IRA or Keogh accounts, or any trust accounts for which setoff would be prohibited by law. Guarantor authorizes Lender, to the extent permitted by applicable law, to hold these funds if there is a default, and Lender may apply the funds in these accounts to pay what Guarantor owes under the terms of this Guaranty. SUBORDINATION OF BORROWER'S DEBTS TO GUARANTOR. Guarantor agrees that the Indebtedness, whether now existing or hereafter created, shall be superior to any claim that Guarantor may now have or hereafter acquire against Borrower, whether or not Borrower becomes insolvent. Guarantor hereby expressly subordinates any claim Guarantor may have against Borrower, upon any account whatsoever, to any claim that Lender may now or hereafter have against Borrower. In the event of insolvency and consequent liquidation of the assets of Borrower, through bankruptcy, by an assignment for the benefit of creditors, by voluntary liquidation, or otherwise, the assets of Borrower applicable to the payment of the claims of both Lender and Guarantor shall be paid to Lender and shall be first applied by Lender to the Indebtedness. Guarantor does hereby assign to Lender all claims which it may have or acquire against Borrower or against any assignee or trustee in bankruptcy of Borrower; provided however, that such assignment shall be effective only for the purpose of assuring to Lender full payment in legal tender of the Indebtedness. If Lender so requests, any notes or credit agreements now or hereafter evidencing any debts or obligations of Borrower to Guarantor shall be marked with a legend that the same are subject to this Guaranty and shall be delivered to Lender. Guarantor agrees, and Lender is hereby authorized, in the name of Guarantor, from time to time to file financing statements and continuation statements and to execute documents and to take such other actions as Lender deems necessary or appropriate to perfect, preserve and enforce its rights under this Guaranty. COMMERCIAL GUARANTI Loan No: 6159818 (Continued) Page 3 MISCELLANEOUS PROVISIONS. The following miscellaneous provisions are a part of this Guaranty: Amendments. This Guaranty, together with any Related Documents, constitutes the entire understanding and agreement of the parties as to the matters set forth in this Guaranty. No alteration of or amendment to this Guaranty shall be effective unless given in writing and signed by the party or parties sought to be charged or bound by the alteration or amendment. Attorneys' Fees; Expenses. Guarantor agrees to pay upon demand all of Lender's costs and expenses, including Lender's reasonable attorneys' fees and Lender's legal expenses, incurred in connection with the enforcement of this Guaranty. Lender may hire or pay someone else to help enforce this Guaranty, and Guarantor shall pay the costs and expenses of such enforcement. Costs and expenses include Lender's reasonable attorneys' fees and legal expenses whether or not there is a lawsuit, including reasonable attorneys' fees and legal expenses for bankruptcy proceedings (including efforts to modify or vacate any automatic stay or injunction), appeals, and any anticipated post - judgment collection services. Guarantor also shall pay all court costs and such additional fees as may be directed by the court. Caption Headings. Caption headings in this Guaranty are for convenience purposes only and are not to be used to interpret or define the provisions of this Guaranty. Governing Law. This Guaranty will be governed by federal law applicable to Lender and, to the extent not preempted by federal law, the laws of the Commonwealth of Pennsylvania without regard to its conflicts of law provisions. Choice of Venue. If there is a lawsuit, Guarantor agrees upon Lender's request to submit to the jurisdiction of the courts of Dauphin County, Commonwealth of Pennsylvania. Integration. Guarantor further agrees that Guarantor has read and fully understands the terms of this Guaranty; Guarantor has had the opportunity to be advised by Guarantor's attorney with respect to this Guaranty; the Guaranty fully reflects Guarantor's intentions and parol evidence is not required to interpret the terms of this Guaranty, Guarantor hereby indemnifies and holds Lender harmless from all losses, claims, damages, and costs (including Lender's attorneys' fees) suffered or incurred by Lender as a result of any breach by Guarantor of the warranties, representations and agreements of this paragraph. Interpretation. In all cases where there is more than one Borrower or Guarantor, then all words used in this Guaranty in the singular shall be deemed to have been used in the plural where the context and construction so require; and where there is more than one Borrower named in this Guaranty or when this Guaranty is executed by more than one Guarantor, the words "Borrower" and "Guarantor" respectively shall mean all and any one or more of them. The words "Guarantor," "Borrower," and "Lender" include the heirs, successors, assigns, and transferees of each of them. If a court finds that any provision of this Guaranty is not valid or should not be enforced, that fact by itself will not mean that the rest of this Guaranty will not be valid or enforced. Therefore, a court will enforce the rest of the provisions of this Guaranty even if a provision of this Guaranty may be found to be invalid or unenforceable. If any one or more of Borrower or Guarantor are corporations, partnerships, limited liability companies, or similar entities, it is not necessary for Lender to inquire into the powers of Borrower or Guarantor or of the officers, directors, partners, managers, or other agents acting or purporting to act on their behalf, and any indebtedness made or created in reliance upon the professed exercise of such powers shall be guaranteed under this . Guaranty. Notices. Unless otherwise provided by applicable law, any notice required to be given under this Guaranty shall be given in writing, and, except for revocation notices by Guarantor, shall be effective when actually delivered, when actually received by telefacsimile (unless otherwise required by law), when deposited with a nationally recognized overnight courier, or, if mailed, when deposited in the United States mail, as first class, certified or registered mail postage prepaid, directed to the addresses shown near the beginning of this Guaranty. All revocation notices by Guarantor shall be in writing and shall be effective upon delivery to Lender as provided in the section of this Guaranty entitled "DURATION OF GUARANTY." Any party may change its address for notices under this Guaranty by giving formal written notice to the other parties, specifying that the purpose of the notice is to change the party's address. For notice purposes, Guarantor agrees to keep Lender informed at all times of Guarantor's current address. Unless otherwise provided by applicable law, if there is more than one Guarantor, any notice given by Lender to any Guarantor is deemed to be notice given to all Guarantors. No Waiver by Lender. Lender shall not be deemed to have waived any rights under this Guaranty unless such waiver is given in writing and signed by Lender. No delay or omission on the part of Lender in exercising any right shall operate as a waiver of such right or any other right. A waiver by Lender of a provision of this Guaranty shall not prejudice or constitute a waiver of Lender's right otherwise to demand strict compliance with that provision or any other provision of this Guaranty. No prior waiver by Lender, nor any course of dealing between Lender and Guarantor, shall constitute a waiver of any of Lender's rights or of any of Guarantor's obligations as to any future transactions. Whenever the consent of Lender is required under this Guaranty, the granting of such consent by Lender in any instance shall not constitute continuing consent to subsequent instances where such consent is required and in all cases such consent may be granted or withheld in the sole discretion of Lender. Successors and Assigns. The terms of this Guaranty shall be binding upon Guarantor, and upon Guarantor's heirs, personal representatives, successors, and assigns, and shall be enforceable by Lender and its successors and assigns. CERTIFICATION AND AGREEMENT FOR CONTINUING PERFECTION AND COMPLIANCE. Whereas, the undersigned has applied to CENTRIC BANK, N.A., (the "Bank ") for a certain loan and /or financial accommodations and Whereas, the Bank has agreed to make the aforesaid loan, but only upon the conditions contained in the Commitment Letter (hereinafter called the "Loan Agreement "), and Whereas the undersigned deem(s) it in (their) best interest to obtain the aforesaid loan, Now therefore, in consideration of these premises and other good and valuable consideration, it is agreed as follows: 1) The undersigned will perform any and all steps requested by the Bank to: (a) create and maintain in the Bank's favor a valid lien and security interest in the collateral to be pledged to Bank pursuant to the terms of the Loan Agreement, including, but without limitation, the execution, delivery, filing and /or recording of promissory notes, guarantees, mortgages, security agreements, fianancing statements, continuation statements and the like, necessary in the opinion of Bank's counsel to effectuate the terms of the Loan Agreement, (b) execute and deliver any other documents necessary, in the opinion of the Bank's counsel, to complete, perfect and continue, but not to modify or change the terms of the Loan Agreement, and (c) the undersigned Borrower agrees, in consideration of CENTRIC BANK, N.A., the Lender disbursing funds for the closing of a loan on Borrower if requested by the Lender or any party acting on behalf of the Lender, to fully cooperate and adjust for clerical errors, any and all closing documentation deemed necessary or desirable in the reasonable discretion of Lender to enable Lender or to ensure enforceability of the loan if dept in lender's own portfolio. The undersigned Borrower agrees to comply with all the above noted requests by Lender within 30 days from the date of mailing said request by the Lender. The Borrower agrees to assume all costs, including, by way of illustration and not limitation, actual expenses, legal fees and marketing losses for failing to comply with lender's requests in the above noted time period. The undersigned Borrower does hereby agree and covenant in order to assure that loan documentation exuecuted this day will conform and be acceptable in the marketplace in the instance of transfer, sale or conveyance by Lender of its interest in and to said loan documentation. 2) The undersigned agrees that terms, provisions and conditions set forth in the Loan Agreement, to the extent that same are not contained in the final documents or have not been fully complied with by the time of the disbursement of loan proceeds to the undersigned by the Bank. shall survive the closing of the loan. 3) The undersigned further agrees to provide the Bank with and /or certifies to the Bank (a) since the date of the application for the loan which is being closed concurrently with the delivery hereof ( "Closing ") there has been no i COMMERCIAL GLIARANTI Loan No: 6159818 (Continued) Page 4 unremedied adverse change in the financial or any other condition of the Borrower or any of the undersigned, (b) the undersigned received a true and complete copy of each document or other instrument signed in the connection with the closing, (c) all taxes of .the Borrower and undersigned are current and all future taxes will be paid when due. 4) The undersigned acknowledges and agrees that failure to comply with the terms and conditions contained herein, or to furnish the Bank with proof thereof upon Bank's request, shall constitute an act of default under the mortgage and/or security agreement executed by the undersigned in connection with this loan transaction, which default shall entitle Bank to any and all remedies, including the accerlation of the unpaid balance of the loan, set forth in the said mortgage and /or security agreement. DEFINITIONS. The following capitalized words and terms shall have the following meanings when used in this Guaranty. Unless specifically stated to the contrary, all references to dollar amounts shall mean amounts in lawful money of the United States of America. Words and terms used in the singular shall include the plural, and the plural shall include the singular, as the context may require. Words and terms not otherwise defined in this Guaranty shall have the meanings attributed to such terms in the Uniform Commercial Code: Borrower. The word "Borrower" means JCB Associates, LLC and includes all co- signers and co- makers signing the Note and all their successors and assigns. GAAP. The word "GAAP" means generally accepted accounting principles. Guarantor. The ward "Guarantor" means everyone signing this Guaranty, including without limitation Jennifer S. Bean, and in each case, any signer's successors and assigns. Guaranty. The word "Guaranty" means this guaranty from Guarantor to Lender. Indebtedness. The word "Indebtedness" means Borrower's indebtedness to Lender as more particularly described in this Guaranty. Lender. The word "Lender" means.CENTRIC BANK, N.A., its successors and assigns. Note. The word "Note" means and includes without limitation all of Borrower's promissory notes and /or credit agreements evidencing Borrower's loan obligations in favor of Lender, together with all renewals of, extensions of, modifications of, refinancings of, consolidations of and substitutions for promissory notes or credit agreements. Related Documents. The words "Related Documents" mean all promissory notes, credit agreements, loan agreements, environmental agreements, guaranties, security agreements, mortgages, deeds of trust, security deeds, collateral mortgages, and all other instruments, agreements and documents, whether now or hereafter existing, executed in connection with the Indebtedness. CONFESSION OF JUDGMENT. GUARANTOR HEREBY IRREVOCABLY AUTHORIZES AND EMPOWERS ANY ATTORNEY OR THE PROTHONOTARY OR CLERK OF ANY COURT IN THE COMMONWEALTH OF PENNSYLVANIA, OR ELSEWHERE, TO APPEAR AT ANY TIME FOR GUARANTOR AFTER THE AMOUNTS HEREUNDER BECOME DUE AND WITH OR WITHOUT COMPLAINT FILED, CONFESS OR ENTER JUDGMENT AGAINST GUARANTOR FOR THE ENTIRE PRINCIPAL BALANCE OF THIS GUARANTY AND ALL ACCRUED INTEREST, LATE CHARGES AND ANY AND ALL AMOUNTS EXPENDED OR ADVANCED BY LENDER RELATING TO ANY COLLATERAL SECURING THE INDEBTEDNESS, TOGETHER WITH COSTS OF SUIT, AND AN ATTORNEY'S COMMISSION OF TEN PERCENT (10 %) OF THE UNPAID PRINCIPAL BALANCE AND ACCRUED INTEREST FOR COLLECTION, BUT IN ANY EVENT NOT LESS THAN FIVE HUNDRED DOLLARS ($600) ON WHICH JUDGMENT OR JUDGMENTS ONE OR MORE EXECUTIONS MAY ISSUE IMMEDIATELY; AND FOR SO DOING, THIS GUARANTY OR A COPY OF THIS GUARANTY VERIFIED BY AFFIDAVIT SHALL BE SUFFICIENT WARRANT. THE AUTHORITY GRANTED IN THIS GUARANTY TO CONFESS JUDGMENT AGAINST GUARANTOR SHALL NOT BE EXHAUSTED BY ANY EXERCISE OF THAT AUTHORITY, BUT SHALL CONTINUE FROM TIME TO TIME AND AT ALL TIMES UNTIL PAYMENT IN FULL OF ALL AMOUNTS DUE UNDER THIS GUARANTY. GUARANTOR HEREBY WAIVES ANY RIGHT GUARANTOR MAY HAVE TO NOTICE OR TO A HEARING IN CONNECTION WITH ANY SUCH CONFESSION OF JUDGMENT AND STATES THAT EITHER A REPRESENTATIVE OF LENDER SPECIFICALLY CALLED THIS CONFESSION OF JUDGMENT PROVISION TO GUARANTOR'S ATTENTION OR GUARANTOR HAS BEEN REPRESENTED BY INDEPENDENT LEGAL COUNSEL. EACH UNDERSIGNED GUARANTOR ACKNOWLEDGES HAVING READ ALL THE PROVISIONS OF THIS GUARANTY AND AGREES TO ITS TERMS. IN ADDITION, EACH GUARANTOR UNDERSTANDS THAT THIS GUARANTY IS EFFECTIVE UPON GUARANTOR'S EXECUTION AND DELIVERY OF THIS GUARANTY TO LENDER AND THAT THE GUARANTY WILL CONTINUE UNTIL TERMINATED IN THE MANNER SET FORTH IN THE SECTION TITLED "DURATION OF GUARANTY ". NO FORMAL ACCEPTANCE BY LENDER IS NECESSARY TO MAKE THIS GUARANTY EFFECTIVE. THIS GUARANTY IS DATED SEPTEMBER 26, 2007. THIS GUARANTY IS GIVEN UNDER SEAL AND IT IS INTENDED THAT THIS GUARANTY IS AND SHALL CONSTITUTE AND HAVE THE EFFECT OF A SEALED INSTRUMENT ACCORDING TO LAW. GUARANTOR: :Se al 1 t Jennifer S. Be LASER PRO L.nd{"g. Y... 6.3300.001 C-P,. Mol.nd FI-0.1 S.1.6.... Inc. 1997, 2007. AR Rl,hl. Retuned. PA C1PROSUI7EICFALPL1E2O.PC 7R -896 PR•10 ,� PLAINTIFF'S E1X�1 -,IBT m i'i ( PROMISSORY NOTE <' References in the boxes above are for Lender's use only and do not limit the applicability of this document to any particular loan or item. Any item above containing has been omitted due to text length limitations. ' Borrower: Jom Associates, uC Lender: CENTRIC BANK, N.A. oos Locust Grove Road Harrisburg Office Elizabethtown, PA 17022 Corporate Headquarters uso1vo,mnWay Harrisburg, PA 17110 (717) 657-7727 Principal Amount: $25.008.00 Initial Rate: 6.000% Date mfNote: June 6.20O8 pnuxx|ms To PAY. Joa A000r/utoo' LLo (^aor,vwu,'') n,omi,*, to pay to CENTRIC aAmu' N.A. (^Lonuo,^)' or u,av,' in lawful money *vthe United States of America, on *omunu' the principal amount of Twenty-five Thousand &no/1uo om|u,v (yos'oon.on) or so much as may be outstanding, together with interest o^the unpaid outstanding principal balance of each advance. Interest shall bv calculated ,,umthe uuto of each advance until repayment v, each advance. PAYMENT. Borrower-will pay this loan /n full immediately upon Lenuo,'ouvmoud. Borrower will pay regular monthly payments of all auomeo unpaid interest due as of each payment date, beginning July 15' uono' with all ovuwvnuvot interest payments to be due on the ommo day of each month after that. un|aou otherwise uo"vea or required by applicable law, puv"`em, will be uvp|iou first to any accrued unpaid inm,*^* then moprincipal; then to any late charges; and then *, any unpaid collection costs. The annual imo,*m rate-for this Note is computed on a uas/omu basis; that is, by applying the ,00n m the annual interest rate over year o,u6n days, multiplied by the vvtotunmno n,innino| uo|anoo, mumnxou by the actual number of days the principal balance is outstanding. ao"ovvv, will pay Lonua, at Lonuo,'x oau,woo o*ovvn above or at such other place oo Lender may designate inwriting. VAn|4aLs |mTeRsaT RATE, The interest rate on this Note is subject to ohvnno from time to time bo,ou on changes in an independent index vvhio» is the The Vvuo Street Jvv,nu| Prime (the ^|"uox^). The Index is not necessarily the lowest rate charged by Lonuo, on its loans. If the Index becomes unavailable uo,inn the term of this loan, Lender may designate " substitute index after notifying oo,m,vo,. Lender will to|/ Borrower the our,om munx rate upon 8vnow'o,'x mnuom. The interest rate change will not occur more often than each Month. oo,,o°o, understands that Lonuo, may make loans »axou on other rates oo well. The Index currently is 5.000m per annum. The interest rate to be applied to the unpaid principal balance during this Note will be at a rate of 1.000 percentage point over the Index, adjusted if necessary for any minimum and maximum rate limitations described below, resulting inan initial rate vf8.OVo% per annum. NOTICE: Under nncircumstances will the interest rate on this Nom be less than 5.000% per annum n, more than the maximum rate allowed by applicable |a=. pmspAvxxsmT, oo,,owo, may pay without penalty all or u pv,uvn of the amount owed oa,|in, than it is due. Early povmomo will nm, uo|vov agreed muvLender in writing, relieve Borrower of Borrower's obligation to continue to make payments of accrued unpaid interest. natxo,, vu,|v nuvmontx will reduce the principal balance due. oor,n*m, vumox not to nonu Lender novmemn ma,xou "paid in full", "without ,000uma^. or similar language. If ao,,ovvvr sends such payment, Lender may accept it without losing any of Lender's rights vnuo, this mot=' and Borrower will remain obligated to pay any further amount owed to Lender. All written communications vonoo,oino disputed amounts, mn|uuino any check or other payment instrument that indicates that the payment constitutes "payment in ,un^ of the vmvvnt ^wou or that is tendered with od`v, conditions v,limitations vroo full satisfaction vfo disputed amount must »n mailed o, delivered to: CENTRIC BANK, N.A.' P.O. Box 62090 Harrisburg, PA 17106'2090. LATE CHARGE. If a regularly scheduled interest payment is 15 days or more late, Borrower will be charged 5.000% of the unpaid portion of the mVu|a,|v scheduled payment. K Lender demands payment mu`ism*o ' anuaonvwm,uvov"oupavm=|vanin,a/wumo1suaymauoLenuv,'s demand, Borrower also will be charged 5.000% of the unpaid portion of the sum of the unpaid principal plus accrued unpaid interest. |mrsnsoT upTsn DEFAULT. unvn uomu|t including failure to pay upon onv| mam,uv' the mmmm ,mo on this wo«, shall be inn,vuoeu by adding v2.oOO percentage point margin (^oefauu Rate Ma,oin''). The Default Rate Margin shall also apply m each succeeding interest rate change that would have applied had there been nodefault. |/ judgment iv entered in connection with this Note, interest will continue maccrue after the date vr judgment at the rate ineffect au the time judgment ixentered. However, inn^ event will the interest rate exceed the maximum interest rate limitations under applicable law. Lsmoe*'m monro. Upon default, Lonun, mov, after giving such notices as ,o«ui,vu by applicable mw' uov|u,e the onum unpaid principal balance under this Note and all accrued unpaid interest immediately due, and then Borrower will pay that amount. A7Tonmsrm' pssm; supsmmsa. Lender may hire v, pay someone else to help voUvnt this wma if Borrower does not pay. av,,owo, will pay Lender that amount. This |no|uuoo' subject to any limits under unp|ivnmo |uw. Lender's monvnuu|o attorneys' ,00v and Lonuo,'o |ooa| nxnonoou. "vh°V`o, or not there is a |a"vnvit' including muonnumo attorneys' f000 oxnnnnoo for bankruptcy prv000dionx (including efforts to modify or vacate any automatic stay or injunction), and opv:u|o. |f not prohibited by applicable )aw, ao,,vwn, also will pay any court costs, in addition to all other sums provided bvlaw. movsnm/mo LAW. This Note will »o governed bvfederal law applicable to Lvnuw, anu, to the extent not preempted uv federal law, the laws of the Commonwealth of Pennsylvania without ,00a,u to its vonnmm of |uw provisions. This mmw has been ovvepu*u by Lender in the Commonwealth ofPennsylvania. CHOICE OF VENUE. If there is " lawsuit, Bo,,vvvo, oo,*oo upon Lender's request to submit to the jurisdiction of the courts of Dauphin County, Commonwealth vfPennsylvania. omHomonso |Tem pss. oonvwv, will pay o fee m Lender of $30.00 if Borrower makes u payment on oo,,nm/o,'o |vun and the check or p,ouuthv,izou charge with which Borrower pays iv later dishonored. RIGHT OF SETOFF. To the extent permitted hy applicable law, Lender reserves a right o( setoff in all Bonnvvo,'u accounts with Lender (*»mxm oxnokinu, o°vi"ox, or some other account). This Includes an uuooumo Borrower holds jointly with someone o|vo and all eouvu,tx Borrower may open in the future. Hvwovo,' this uonx not include any IRA or Keogh oovvnmv' or any trust accounts for wmox setoff would be pmxiWmu by law. oo,m""or authorizes Lonuor, to the extent permitted by applicable law, to charge o,setoff all sums owing on the indviuvdnoav against any and all such accounts. COLLATERAL. Borrower acknowledges this Note is secured by the following collateral described in the security instruments lisled herein: (A) un0prn'End xxurtoaoo umou Juno V 2008, to Lender on real property described as ''Roa| prono,m located at 2004 Kensington Street, Harrisburg, PA 17104" and located in Dauphin County, Commonwealth of Pennsylvania. 1 i PROMISSORY NOTE Loan No: 6180228 (Continued) Page 2 (B) an Open -End Mortgage dated June 6, 2008, to Lender on real property described as "Real Property located at 237 Lincoln Street, Carlisle, PA 17013" and located in Cumberland County, Commonwealth of Pennsylvania. PROPERTY INSURANCE. Borrower understands that Borrower is required to obtain insurance for the collateral securing this Note. Further information concerning this requirement is set forth in the Mortgage and in the Agreement to Provide Insurance, all the terms and conditions of which are hereby incorporated and made a part of this Note. LINE OF CREDIT. This Note evidences a revolving line of credit. Advances under this Note may be requested either orally or in writing by Borrower or as provided in this paragraph. Lender may, but need not, require that all oral requests be confirmed in writing. All communications, instructions, or directions by telephone or otherwise to Lender are to be directed to Lender's office shown above. The following person or persons are authorized, except as provided in this paragraph, to request advances and authorize payments under the line of credit until Lender receives from Borrower, at Lender's address shown above, written notice of revocation of such authority: Jennifer S. Bean, Member of JCB Associates, LLC or Christopher M. Bean. Advances will be made via usage of your Centric Bank, NA line of credit checks, in amounts of no less than $500.00. Borrower agrees to be liable for all sums either: (A) advanced in accordance with the instructions of an authorized person or (B) credited to any of Borrower's accounts with Lender. The unpaid principal balance owing on this Note at any time may be evidenced by endorsements on this Note or by Lender's internal records, including daily computer print -outs. CERTIFICATION AND AGREEMENT FOR CONTINUING PERFECTION AND COMPLIANCE. Whereas, the undersigned has applied to CENTRIC BANK, N.A., (the "Bank ") for a certain loan and /or financial accommodations and Whereas, the Bank has agreed to make the aforesaid loan, but only upon the conditions contained in the Commitment Letter (hereinafter called the "Loan Agreement "), and Whereas the undersigned deem(s) it in (their) best interest to obtain the aforesaid loan, Now therefore, in consideration of these premises and other good and valuable consideration, it is agreed as follows: 1) The undersigned will perform any and all steps requested by the Bank to; (a) create and maintain in the Bank's favor a valid lien and security interest in the collateral to be pledged to Bank pursuant to the terms of the Loan Agreement, including, but without limitation, the execution, delivery, filing and/or recording of promissory notes, guarantees, mortgages, security agreements, financing statements, continuation statements and the like, necessary in the opinion of Bank's counsel to effectuate the terms of the Loan Agreement, (b) execute and deliver any other documents necessary, in the opinion of the Bank's counsel, to complete, perfect and continue, but not to modify or change the terms of the Loan Agreement, and (c) the undersigned Borrower agrees, in consideration of CENTRIC BANK, N.A., the Lender disbursing funds for the closing of a loan on Borrower if requested by the Lender or any party acting on behalf of the Lender, to fully cooperate and adjust for clerical errors, any and all closing documentation deemed necessary or desirable in the reasonable discretion of Lender to enable Lender or to ensure enforceability of the loan if kept in Lender's own portfolio. The undersigned Borrower agrees to comply with all the above noted requests by Lender within 30 days from the date of mailing said request by the Lender. The Borrower agrees to assume all costs, including, by way of illustration and not limitation, actual expenses, legal fees and marketing losses for failing to comply with Lender's requests in the above noted time period. The undersigned Borrower does hereby agree and covenant in order to assure that loan documentation exuecuted this day will conform and be acceptable in the marketplace in the instance of transfer, sale or conveyance by Lender of its interest in and to said loan documentation. 2) The undersigned agrees that terms, provisions and conditions set forth in the Loan Agreement, to the extent that same are not contained in the final documents or have not been fully complied with by the time of the disbursement of loan proceeds to the undersigned by the Bank. shall survive the closing of the loan. 3) The undersigned further agrees to provide the Bank with and /or certifies to the Bank (a) since the date of the application for the loan which is being closed concurrently with the delivery hereof ( "Closing ") there has been no unremedied adverse change in the financial or any other condition of the Borrower or any of the undersigned, (b) the undersigned received a true and complete copy of each document or other instrument signed in the connection with the closing, (c) all taxes of the Borrower and undersigned are current and all future taxes will be paid when due. 4) The undersigned acknowledges and agrees that failure to comply with the terms and conditions contained herein, or to furnish the Bank with proof thereof upon Bank's request, shall constitute an act of default under the mortgage and /or security agreement executed by the undersigned in connection with this loan transaction, which default shall entitle Bank to any and all remedies, including the accerlation of the unpaid balance of the loan, set forth in the said mortgage and /or security agreement. CROSS DEFAULT AGREEMENT. THIS AGREEMENT, by and between Borrower and Lender; WHEREAS, Lender is about to enter into a Commercial Loan transaction with Borrower pursuant to the terms and conditions of certain loan documents or other loans to Borrower; and WHEREAS as an inducement to Lender to execute the Documents, and for other good and valuable consideration, Borrower is willing to cross collaterize their various obligations; NOW THEREFORE, intending to be legally bound hereby, Borrower for themselves, their successors and assigns, hereby agrees as follows: It is agreed that a default under any of the Documents bearing even date herewith, or under any other loan pursuant to which Borrower is directly or indirectly obligated to Lender, shall collaterize and secure all of the obligations of the undersigned referred to herein. IN WITNESS WHEREOF, intending legally to bind itself, its sucessors and assigns, Borrower has hereunto set its hand and seal on the day and year of this Note. PROTECTION OF LENDER'S SECURITY. If Borrower fails to perform according to the covenants and agreements contained in the mortgage instrument, or if any action or proceeding is commenced which affects the property or title, thereto, or the interest of lender therein, including, but not limited to eminent domain, insolvency, code enforcement, or arrangements or proceedings involving bankruptcy or decedent, then lender at lender's option may make such appearances, disburse such sums and take such action as lender deems necessary in its sole discretion, to protect lender's interest, including, but not limited to, disbursement of attoney fees, entry upon the property to make repairs and procurement of satisfactory insurance. Any amounts disbursed by lender pursuant to this paragraph with interest thereon, shall become additional indebtedness of the borrower secured by the Mortgage. Unless Borrower and lender agree to other terms of payment, such accounts shall immediately due and payable and shall bear interest from the date of disbursement at the rate stated in the note unless collection from borrower of interest at such rate would be contrary to applicable law, In which event such amounts shall bear interest at the highest rate which may be collected from borrower under applicable law. Borrower hereby covenants and agrees that lender shall be subrogated to the lien of any mortgage or other lien discharged, in whole or in part, by the indebtedness secured hereby. Nothing contained in this paragraph shall require lender to incur any expense to take any action hereunder. DEPOSIT RELATIONSHIP. Borrower shall maintain its primary business deposit account relationship with Centric Bank, NA. If the Borrower fails to maintain such a deposit relationship with the Bank, the Bank may increase the interest rate in effect on the loan by 2.00 %. RENEWAL TERMS. The Line of Credit is subject to review on an annual basis, and could be subject to a fee if renewed. The initial review date is scheduled for no later than August 2009. The principal balance is due on demand. . SUCCESSOR INTERESTS. The terms of this Note shall be binding upon Borrower, and upon Borrower's heirs, personal representatives, successors and assigns, and shall inure to the benefit of Lender and its successors and assigns. NOTIFY US OF INACCURATE INFORMATION WE REPORT TO CONSUMER REPORTING AGENCIES. Please notify us if we report any inaccurate information about your account(s) to a consumer reporting agency. Your written notice describing the specific inaccuracy(ies) should be sent to us at the following address; CENTRIC BANK, N.A. P.O. Box 62090 Harrisburg, PA 17106 -2090. GENERAL PROVISIONS. This Note is payable on demand. The inclusion of specific default provisions or rights of Lender shall not preclude Lender's right to declare payment of this Note on its demand. If any part of this Note cannot be enforced, this fact will not affect the rest of the PROMISSORY NOTE Loan No: 6180228 (Continued) Page 3 Note. Lender may delay or forgo enforcing any of its rights or remedies under this Note without losing them. Borrower and any other person who signs, guarantees or endorses this Note, to the extent allowed by law, waive presentment, demand for payment, and notice of dishonor. Upon any change in the terms of this Note, and unless otherwise expressly stated in writing, no party who signs this Note, whether as maker, guarantor, accommodation maker or endorser, shall be released from liability. All such parties agree that Lender may renew or extend (repeatedly and for any length of time) this loan or release any party or guarantor or collateral; or impair, fail to realize upon or perfect Lender's security interest in the collateral; and take any other action deemed necessary by Lender without the consent of or notice to anyone. All such parties also agree that Lender may modify this loan witfiout the consent of or notice to anyone other than the party with whom the modification is made. The obligations under this Note are joint and several. If any portion of this Note is for any reason determined to be unenforceable, it will not affect the enforceability of any other provisions of this Note. CONFESSION OF JUDGMENT. BORROWER HEREBY IRREVOCABLY AUTHORIZES AND EMPOWERS ANY ATTORNEY OR THE PROTHONOTARY OR CLERK OF ANY COURT IN THE COMMONWEALTH OF PENNSYLVANIA, OR ELSEWHERE, TO APPEAR AT ANY TIME FOR BORROWER AFTER A DEFAULT UNDER THIS NOTE AND WITH OR WITHOUT COMPLAINT FILED, CONFESS OR ENTER JUDGMENT AGAINST BORROWER FOR THE ENTIRE PRINCIPAL BALANCE OF THIS NOTE AND ALL ACCRUED INTEREST, LATE CHARGES AND ANY AND ALL AMOUNTS EXPENDED OR ADVANCED BY LENDER RELATING TO ANY COLLATERAL SECURING THIS NOTE, TOGETHER WITH COSTS OF SUIT, AND AN ATTORNEY'S COMMISSION OF TEN PERCENT (10 %) OF THE UNPAID PRINCIPAL BALANCE AND ACCRUED INTEREST FOR COLLECTION, BUT IN ANY EVENT NOT LESS THAN FIVE HUNDRED DOLLARS 1$500) ON WHICH JUDGMENT OR JUDGMENTS ONE OR MORE EXECUTIONS MAY ISSUE IMMEDIATELY; AND FOR SO DOING, THIS NOTE OR A COPY OF THIS NOTE VERIFIED BY AFFIDAVIT SHALL BE SUFFICIENT WARRANT. THE AUTHORITY GRANTED IN THIS NOTE TO CONFESS JUDGMENT AGAINST BORROWER SHALL NOT BE EXHAUSTED BY ANY EXERCISE OF THAT AUTHORITY, BUT SHALL CONTINUE FROM TIME TO TIME AND AT ALL TIMES UNTIL PAYMENT IN FULL OF ALL AMOUNTS DUE UNDER THIS NOTE. BORROWER HEREBY WAIVES ANY RIGHT BORROWER MAY HAVE TO NOTICE OR TO A HEARING IN CONNECTION WITH ANY SUCH CONFESSION OF JUDGMENT AND STATES THAT EITHER A REPRESENTATIVE OF LENDER SPECIFICALLY CALLED THIS CONFESSION OF JUDGMENT PROVISION TO BORROWER'S ATTENTION OR BORROWER HAS BEEN REPRESENTED BY INDEPENDENT LEGAL COUNSEL. The lien arising from any judgment confessed or entered pursuant to the foregoing authority shall not extend to any of Borrower's residential real property as that term is defined in the Pennsylvania Act of January 30, 1974 (Pa. Laws 13, No. 6), referred to as the Loan Interest and Protection Law, as amended, and the holder of any judgment confessed or entered pursuant to the forgoing authority shall not, in enforcement of any such judgment, execute, levy or otherwise proceed against any such residential real property; provided, however, that the lien of such judgment shall extend to such residential real property and that the holder thereof shall be permitted to execute, levy or proceed against such residential real property from and after the entry of a judgment as contemplated by Section 407 of such Loan Interest and Protection Law and Rules 2981 to 2986 of the Pennsylvania Rules of Civil Procedure, or successor or similar statutes and rules. No limitation of lien or any execution, levy or other enforcement contained in the immediately preceding sentence shall apply with respect to any judgment obtained other than by the foregoing authority to confess or enter judgment. PRIOR TO SIGNING THIS NOTE, BORROWER READ AND UNDERSTOOD ALL THE PROVISIONS OF THIS NOTE, INCLUDING THE VARIABLE INTEREST RATE PROVISIONS. BORROWER AGREES TO THE TERMS OF THE NOTE. BORROWER ACKNOWLEDGES RECEIPT OF A COMPLETED COPY OF THIS PROMISSORY NOTE. THIS NOTE IS GIVEN UNDER SEAL AND IT IS INTENDED THAT THIS NOTE IS AND SHALL CONSTITUTE AND HAVE THE EFFECT OF A SEALED INSTRUMENT ACCORDING TO LAW. BORROWER: JCB ASSOCIATES, LLC seat B ( ) Jennifer S. Bean, ember of JCB Associates, LLC tASER PRO L —din. V-,. 6.8!.00.008 C-01. H-d- d RnanNal S.W.- Inn. 1997, 2008. /01 RIOTu R.—ry . - PA C:1PR0SV TMCERLPL1020.rC " -040 PR -00 - PA-1NTiFF'S EXHIBIT g E m . / ' COMMERCIAL GUARANTY Bm''u«»mr Jco Associates, LLC Lender: CENTRIC BANK, m^u' MUM References in the boxes above are for Lender's use only and do not limit the applicability of this document to any particular loan or item. Any item above containing has been omitted due to text length limitations. 805 Locust Grove Road Harrisburg Office Elizabethtown, PA 17022 Corporate Headquarters nsu1vu,tanWay Harrisburg, PA 17110 J717) 657-7727 Guarantor: Christopher ml.Bean 805 Locust Grove Road Elizabethtown, PA 17022 nomT|mu|mo GUARANTEE mp PAYMENT AND *egFonxxAmcE. For good and valuable consideration, Guarantor absolutely and unconditionally ouamnmwo full and p"nnmo| povmom and outinfuodnn of the mooumunona of Borrower to Lender, and the na,,o,monoe and discharge of all Bu,,ovvo,'o obligations under the Note and the Related Documents. This is u guaranty of payment and pvrm,munoo and not of collection, so Lanuo, can enforce this muv,omv *n"inm Guarantor even when uanuo, has not exhausted Lonuo,'o ,omemou against anyone o|oo obligated to pay the muomounvnx or against any collateral uvnu,ion the muouovuneuo. this Guaranty or any other gua of the Indebtedness. Gua,umn, will make any payments to Lender or its order, on demand, in legal tender of the United States of America, in sarne-day funds, without set-off or deduction or c^umuom|uim' and will vtho,vmxo no,,o,m eor,uwo,'o ouueutivnu under the mu«o and nu|moo Documents. Under this auomnm Guarantor's liability iv unlimited and Guarantor's obligations are continuing. |moeaTsomemm. The word "Indebtedness" as used in this Guaranty means all of the principal amount outstanding from time to time and ut any one or more times, aoumoa unpaid interest thereon and an collection vomx and |oem oxpon,*n related thereto nomnimau by |aw, wavnnomo uun,novo' f000 arising from any u all uobto' liabilities and obligations of every nature o, m,m' now existing or xomufto, arising or acquired, that Borrower individually or collectively o, interchangeably with others, owes o, will owe Lender. ^muoLtou^eon^ includes, without limitation, |vono' uuvaoovx, uvmx vvv,urau indebtedness, v,omt ou,u ind*uuou0000. |onvo vmivadon^. |iubi|hinx and obligations vnuo, any interest rate n,mentmn agreements v, foreign currency exchange agreements v, commodity price protection agreements, other obligations, and liabilities of ao,mvver and any present or future judgments onxioot ao,mwm,, mmm uuvanonu' muno or transactions that renew, nmenu modify, ,vnnunuo' consolidate or substitute these debts, liabilities and obnnudvnv whether: voluntarily or involuntarily incurred; due or to hooumo due by their terms or oouniv,zmmn; ouxoimv or contingent; liquidated or unnnuiuutou; determined or undetermined; direct or indirect; primary o,uoovnuo,vin nature or ar ising from a guaranty or surely; d or unsecured; joint or several or joint and vvvo,a|/ evidenced by a n000uumo or oon'neemivN= instrument or w,iVmz originated by Lender or another or others; ua,mu or vnon,u,voub|v against ovnvwe, for any reason "vxa000,vo,; for any transactions that may be voidable for any reason (such as inmnov, insanity, ultra vi,vs or o«xv,wivo); and n,|uinou^u then reduced or oxunuuin»uu and then afm,,wn,um ino,oaoou or minvtumou. n Lender presently holds one or more uuu,a,uioo' vr hereafter receives additional guaranties from Guarantor, Lender's noww under all uuo,amivv oxux be cumulative. This Guaranty xxoi| not (unless on*oinoo|ly nmwuod below m the ouru,a,y) affect o,invalidate any such other guaranties. sua,umm,'n liability will be Guarantor's uoomoma liability under the terms of this Guaranty and any such otxo,vma,nninatao ouumnuon. oomrImmmo ouAnAmr/. THIS IS A ^oowT|wu|ms ouxnANTv^ uwosn vvmnH ouAnAwTon AoRsso To GUARANTEE THE FULL AND pomcToAL pAvmsmT' psnponrwAwcs AND exT|snAoT|om OF THE |wosaTsowens OF eonnovvsn To Lswosn, NOW sxmT|mo on HcnaArrsn AR|a|wo on Auuumso. ON AN qpsN AND comT|mu|ws mvam. Aoonno|moLv' ANY pxvxxsmTa MADE ON THE INDEBTEDNESS WILL NOT DISCHARGE OR DIMINISH GUARANTOR'S OBLIGATIONS AND LIABILITY UNDER THIS GUARANTY FOR ANY ncma|wIwo AND aucCsso|wm |wosersomess sysm WHEN ALL on p«nT or THE ouTsrAmo|Na /woseTsoNsae MAY BE A zcno BALANCE FROM TIME ToTIME. DURATION OF GUARANTY. This Guaranty will take effect when received by Lender without the necessity of any acceptance by Lender, or any notice to Guarantor or to oo,mv"o,' and will continue in full force until an the muobmunoxo incurred or uo,ummau uomm receipt by Lender of any notice of revocation shall have been fully and finally paid and satisfied and all of Guarantor's other obligations under this Guaranty shall have been po,m,mou in m|/. It Gvu,nmm, elects to revoke this ouxmnty. Guarantor may only uv so in `m,uino. Gvom,uor'o written notice of revocation must be mailed to Lanuo,' by certified mail, at Lvnuo,'v aou,00u listed above u, such other nmoa as Lonuo, may designate in writing. Written revocation of this suu,00ty will "nn|v only to new muemeunv*o o,o*u,u after uv^vu| mooi;t by Lanuo, of Guarantor's written rovvouuoo. For this purpose and without nmuutinn, the u,,m ^nvv" Indebtedness" u000 not inuvuo the muomaunnox which at the time of notice of m"uosu|vn is oo,uinoom, vn|inuivatou, unu,tv,nvinou or not due and which |uto, uoovmoo uuov|mo. liquidated, determined or due. For this purpose and without limitation, "new |ndomadnpvs" dvoo not include all or part ofthe Indebtedness that is: invu,,ou by Borrower prior to revocation; incurred under a commitment that became binding uomm mvnontmo; any ,*now*/v, extensions, substitutions, and muumuxuvnv of the |mu,uuounovn. This oua,umv n»on bind Guarantor's estate as to the |nuoutounoov mmuu,u both uofn,o and auo, ouurumv,'o uoau` or incapacity, ,osuru|oox or Lanun,'o actual notice of mva,umor'o death. Subject to the mmnvinu' Guo,a,uv,'x oxooum, or administrator or cuho, |eo*| r*n,000ntmivo may terminate this Guaranty in the oumo manner in wmvx ovu,omo, might have terminated it and with the same on*m. Release of any mxo, nua,aom, or termination of any other guaranty of the |noomeunv^v *h^o not uno,t the Uuui|hv of aun,^mu, under this Guaranty. A mvvvadvn Lender ,vnei"ov from any one or more Guarantors nxa|| not affect the liability of any remaining Guumomm under this o"o,mmv. It is anticipated that fluctuations may occur |n the aggregate amount n,the muv»trd^eov vvvo,aa by this muuonty, and auumnm, vnvrimiom|v uuunvw+euoov and oq,ve, that reductions In the amount of the |naobtouneao' even to zero am|op 00.00>' ohoo not constitute m to,vn|omovn of this Guaranty. This Guaranty io binding upon Guarantor and muammu,', *wi,v. »vvo*000,s and assigns xv long as any ofthe Indebitedness remains unpaid and even though the Indebtedness may from time to time be zero dollars ($0.00). muAFaoNrmn'o AurnmR\ZAT|om To LENDER. Guarantor authorizes Lonuv,' ohxv, uomm or u,u,, any ,uvov/uivn ho,om' without nm|oa or demaind and without lessening Guarantor's liability under this Guaranty, from time to time: (A) prior tv revocation uu set forth above, tomake one armom additional secured or unsecured loans to ao,,owm,. to |oaxo equipment or other unnus to ao,mwm, or otherwise to omonu ouui*mna| credit to Borrower; (o) to a|u,,' ovmnmmmo, mnow, ov,onu, a000|umte' or m»o,wio* change one or more times the time for nuvmo,u . or otn`o, m,mv of the muvutaun000 or any part of the |nuwmounoxo including mo,*nxvv and oov,°uoox of the mm of imo,avt on the |ndeb-tedness; extensions may be ,onoamu and may be for longer than the original |nun term: (c) to take and hold xnvv,hv for the payment of this Guaranty the |naoutounonu and nxvoonoo' onro,00' wm=, ou»v,uinmo, fail or decide not to vo,m't' and ,e|euoo any such security, with or wi*hovt the xubxxtvd^n of now vo||omm|; (D> to ,w|ooso, mbntitum, onmo not to sue, or doo| with any one or more of an,,ow*,'o sureties, vndorxers, or other guarantors on any terms or in any manner Lender may choose; (s) to uo/*,mino how, when and what application of »uvmAents and o,omtn ohuU be mwuo on the |ndobtvunvoo/ <p> to apply such security and direct the order o, manner pv sale thereof, including with�ut limitation, any nonjudicial sale permitted by the terms of the controlling security agreement or deed of trust, as Lender in its discretion COMMERCIAL GUARANTY Loan No: 6180228 (Continued) Page 2 may determine; (G) to sell, transfer, assign or grant participations in all or any part of the Indebtedness; and (H) to assign or transfer this Guaranty in whole or in part. GUARANTOR'S REPRESENTATIONS AND WARRANTIES. Guarantor represents and warrants to Lender that (A) no representations or agreements of any kind have been made to Guarantor which would limit or qualify in any way the terms of this Guaranty; (B) this Guaranty is executed at Borrower's request and not at the request of Lender; (C) Guarantor has full power, right and authority to enter into this Guaranty; (D) the provisions of this Guaranty do not conflict with or result in a default under any agreement or other instrument binding upon Guarantor and do not result in a violation of any law, egulation, court decree or order applicable to Guarantor; (E) Guarantor has not and will not, without the prior written consent of Lender, sell, lease, assign, encumber, hypothecate, transfer, or otherwise dispose of all or substantially all of Guarantor's assets, or any interest therein; (F) upon Lender's request, Guarantor will provide to Lender financial and credit information in form acceptable to Lender, and all such financial information which currently has been, and all future financial information which will be provided to Lender is and will be true and correct in all material respects and fairly present Guarantor's financial condition as of the dates the financial information is provided; (G) no material adverse change has occurred in Guarantor's financial condition since the date of the most recent financial statements provided to Lender and no event has occurred which may materially adversely affect Guarantor's financial condition; (H) no litigation, claim, investigation, administrative proceeding or similar action (including those for unpaid taxes) against Guarantor is pending or threatened; (1) Lender has made no representation to Guarantor as to the creditworthiness of Borrower; and (J) Guarantor has established adequate means of obtaining from Borrower on a continuing basis information regarding Borrower's financial condition. Guarantor agrees to keep adequately informed from such means of any facts, events, or circumstances which might in any way affect Guarantor's risks under this Guaranty, and Guarantor further agrees that Lender shall have no obligation to disclose to Guarantor any information or documents acquired by Lender in the course of its relationship with Borrower. GUARANTOR'S FINANCIAL STATEMENTS. Guarantor agrees to furnish Lender with the following: Tax Returns. As soon as available, but in no event later than sixty (60) days after the applicable filing date for the tax reporting period ended, Federal and other governmental tax returns, prepared by a certified public accountant satisfactory to Lender. Additional Requirements. Annual Personal Financial Statement. All financial reports required to be provided under this Guaranty shall be prepared in accordance with GAAP, applied on a consistent basis, and certified by Guarantor as being true and correct. GUARANTOR'S WAIVERS. Except as prohibited by applicable law, Guarantor waives any right to require Lender (A) to continue lending money or to extend other credit to Borrower; (B) to make any presentment, protest, demand, or notice of any kind, including notice of any nonpayment of the Indebtedness or of any nonpayment related to any collateral, or notice of any action or nonaction on the part of Borrower, Lender, any surety, endorser, or other guarantor in connection with the Indebtedness or in connection with the creation of new or additional loans or obligations; (C) to resort for payment or to proceed directly or at once against any person, including Borrower or any other guarantor; (D) to proceed directly against or exhaust any collateral held by Lender from Borrower, any other guarantor, or any other person; (E) to give notice of the terms, time, and place of any public or private sale of personal property security held by Lender from Borrower or to comply with any other applicable provisions of the Uniform Commercial Code; (F) to pursue any other remedy within Lender's power; or (G) to commit any act or omission of any kind, or at any time, with respect to any matter whatsoever. Guarantor also waives any and all rights or defenses based on suretyship or impairment of collateral including, but not limited to, any rights or defenses arising by reason of (A) any "one action" or "anti- deficiency" law or any other law which may prevent Lender from bringing any action, including a claim for deficiency, against Guarantor, before or after Lender's commencement or completion of any foreclosure action, either judicially or by exercise of a power of sale; (B) any election of remedies by Lender which destroys or otherwise adversely affects Guarantor's subrogation rights or Guarantor's rights to proceed against Borrower for reimbursement, including without limitation, any loss of rights Guarantor may suffer by reason of any law limiting, qualifying, or discharging the Indebtedness; (C) any disability or other defense of Borrower, of any other guarantor, or of any other person, or by reason of the cessation of Borrower's liability from any cause whatsoever, other than payment in full in legal tender, of the Indebtedness; (D) any right to claim discharge of the Indebtedness on the basis of unjustified impairment of any collateral for the Indebtedness; (E) any statute of limitations, if at any time any action or suit brought by Lender against Guarantor is commenced, there is outstanding Indebtedness which is not barred by any applicable statute of limitations; or (F) any defenses given to guarantors at law or in equity other than actual payment and performance of the Indebtedness. If payment is made by Borrower, whether voluntarily or otherwise, or by any third party, on the Indebtedness and thereafter Lender is forced to remit the amount of that payment to Borrower's trustee in bankruptcy or to any similar person under any federal or state bankruptcy law or law for the relief of debtors, the Indebtedness shall be considered unpaid for the purpose of the enforcement of this Guaranty. Guarantor further waives and agrees not to assert or claim at any time any deductions to the amount guaranteed under this Guaranty for any claim of setoff, counterclaim, counter demand, recoupment or similar right, whether such claim, demand or right may be asserted by the Borrower, the Guarantor, or both. GUARANTOR'S UNDERSTANDING WITH RESPECT TO WAIVERS. Guarantor warrants and agrees that each of the waivers set forth above is made with Guarantor's full knowledge of its significance and consequences and that, under the circumstances, the waivers are reasonable and not contrary to public policy or law. If any such waiver is determined to be contrary to any applicable law or public policy, such waiver shall be effective only to the extent permitted by law or public policy. RIGHT OF SETOFF. To the extent permitted by applicable law, Lender reserves a right of setoff in all Guarantor's accounts with Lender (whether checking, savings, or some other account). This includes all accounts Guarantor holds jointly with someone else and all accounts Guarantor may open in the future. However, this does not include any IRA or Keogh accounts, or any trust accounts for which setoff would be prohibited by law. Guarantor authorizes Lender, to the extent permitted by applicable law, to hold these funds if there is a default, and Lender may apply the funds in these accounts to pay what Guarantor owes under the terms of this Guaranty. SUBORDINATION OF BORROWER'S DEBTS TO GUARANTOR. Guarantor agrees that the Indebtedness, whether now existing or hereafter created, shall be superior to any claim that Guarantor may now have or hereafter acquire against Borrower, whether or not Borrower becomes insolvent. Guarantor hereby expressly subordinates any claim Guarantor may have against Borrower, upon any account whatsoever, to any claim that Lender may now or hereafter have against Borrower. In the event of insolvency and consequent liquidation of the assets of Borrower, through bankruptcy, by an assignment for the benefit of creditors, by voluntary liquidation, or otherwise, the assets of Borrower applicable to the payment of the claims of both Lender and Guarantor shall be paid to Lender and shall be first applied by Lender to the Indebtedness. Guarantor does hereby assign to Lender all claims which it may have or acquire against Borrower or against any assignee or trustee in bankruptcy of Borrower; provided however, that such assignment shall be effective only for the purpose of assuring to Lender full payment in legal tender of the Indebtedness. If Lender so requests, any notes or credit agreements now or hereafter evidencing any debts or obligations of Borrower to Guarantor shall be marked with a legend that the same are subject to this Guaranty and shall be delivered to Lender. Guarantor agrees, and Lender is hereby authorized, in the name of Guarantor, from time to time to file financing statements and continuation statements and to execute documents and to take such other actions as Lender deems necessary or appropriate to perfect, preserve and enforce its rights under this Guaranty. M1 r COMMERCIAL GUARANTY Loan No: 6180228 (Continued) Page 3 MISCELLANEOUS PROVISIONS. The following miscellaneous provisions are a part of this Guaranty: Amendments. This Guaranty, together with any Related Documents, constitutes the entire understanding and agreement of the parties as to the matters set forth in this Guaranty. No alteration of or amendment to this Guaranty shall be effective unless given in writing and signed by the party or parties sought to be charged or bound by the alteration or amendment. Attorneys' Fees; Expenses. Guarantor agrees to pay upon demand all of Lender's costs and expenses, including Lender's reasonable attorneys' fees and Lender's legal expenses, incurred in connection with the enforcement of this Guaranty. Lender may hire or pay someone else to help enforce this Guaranty, and Guarantor shall pay the costs and expenses of such enforcement. Costs and expenses include Lender's reasonable attorneys' fees and legal expenses whether or not there is a lawsuit, including reasonable attorneys' fees and legal expenses for bankruptcy proceedings (including efforts to modify or vacate any automatic stay or injunction), appeals, and any anticipated post - judgment collection services. Guarantor also shall pay all court costs and such additional fees as may be directed by the court. Caption Headings. Caption headings in this Guaranty are for convenience purposes only and are not to be used to interpret or define the provisions of this Guaranty. Governing Law. This Guaranty will be governed by federal law applicable to Lender and, to the extent not preempted by federal law, the laws of the Commonwealth of Pennsylvania without regard to its conflicts of law provisions. Choice of Venue. If there is a lawsuit, Guarantor agrees upon Lender's request to submit to the jurisdiction of the courts of Dauphin County, Commonwealth of Pennsylvania. Integration. Guarantor further agrees that Guarantor has read and fully understands the terms of this Guaranty; Guarantor has had the opportunity to be advised by Guarantor's attorney with respect to this Guaranty; the Guaranty fully reflects Guarantor's intentions and parol evidence is not required to interpret the terms of this Guaranty. Guarantor hereby indemnifies and holds Lender harmless from all losses, claims, damages, and costs (including Lender's attorneys' fees) suffered or incurred by Lender as a result of any breach by Guarantor of the warranties, representations and agreements of this paragraph. Interpretation. In all cases where there is more than one Borrower or Guarantor, then all words used in this Guaranty in the singular shall be deemed to have been used in the plural where the context and construction so require; and where there is more than one Borrower named in this Guaranty or when this Guaranty is executed by more than one Guarantor, the words "Borrower" and "Guarantor" respectively shall mean all and any one or more of them. The words "Guarantor," "Borrower," and "Lender" include the heirs, successors, assigns, and transferees of each of them. If a court finds that any provision of this Guaranty is not valid or should not be enforced, that fact by itself will not mean that the rest of this Guaranty will not be valid or enforced. Therefore, a court will enforce the rest of the provisions of this Guaranty even if a provision of this Guaranty may be found to be invalid or unenforceable. If any one or more of Borrower or Guarantor are corporations, partnerships, limited liability companies, or similar entities, it is not necessary for Lender to inquire into the powers of Borrower or Guarantor or of the officers, directors, partners, managers, or other agents acting or purporting to act on their behalf, and any indebtedness made or created in reliance upon the professed exercise of such powers shall be guaranteed under this Guaranty. Notices. Unless otherwise provided by applicable law, any notice required to be given under this Guaranty shall be given in writing, and, except for revocation notices by Guarantor, shall be effective when actually delivered, when actually received by telefacsimile (unless otherwise required by law), when deposited with a nationally recognized overnight courier, or, if mailed, when deposited in the United States mail, as first class, certified or registered mail postage prepaid, directed to the addresses shown near the beginning of this Guaranty. All revocation notices by Guarantor shall be in writing and shall be effective upon delivery to Lender as provided in the section of this Guaranty entitled "DURATION OF GUARANTY." Any party may change its address for notices under this Guaranty by giving formal written notice to the other parties, specifying that the purpose of the notice is to change the party's address. For notice purposes, Guarantor agrees to keep Lender informed at all times of Guarantor's current address. Unless otherwise provided by applicable law, if there is more than one Guarantor, any notice given by Lender to any Guarantor is deemed to be notice given to all Guarantors. No Waiver by Lender. Lender shall not be deemed to have waived any rights under this Guaranty unless such waiver is given in writing and signed by Lender. No delay or omission on the part of Lender in exercising any right shall operate as a waiver of such right or any other right. A waiver by Lender of a provision of this Guaranty shall not prejudice or constitute a waiver of Lender's right otherwise to demand strict compliance with that provision or any other provision of this Guaranty. No prior waiver by Lender, nor any course of dealing between Lender and Guarantor, shall constitute a waiver of any of Lender's rights or of any of Guarantor's obligations as to any future transactions. Whenever the consent of Lender is required under this Guaranty, the granting of such consent by Lender in any instance shall not constitute continuing consent to subsequent instances where such consent is required and in all cases such consent may be granted or withheld in the sole discretion of Lender. Successors and Assigns. The terms of this Guaranty shall be binding upon Guarantor, and upon Guarantor's heirs, personal representatives, successors, and assigns, and shall be enforceable by Lender and its successors and assigns. CERTIFICATION AND AGREEMENT FOR CONTINUING PERFECTION AND COMPLIANCE. Whereas, the Borrower has applied to CENTRIC BANK , N.A., (THE "BANK ") for a certain loan and/ or financial accomodations and Whereas, the Bank has agreed to make the aforesaid loan, but only upon the conditions contained in the Commitment Letter (hereinafter called the "Loan Agreement "), and Whereas the undersigned deem(s) it in (their) best interest to obtain the aforesaid loan, Now therefore, in consideration of these premises and other good and valuable consideration, it is agreed as follows: 1)The undersigned will perform any and all steps requested by the Bank to: (a) create and maintain in the Bank's favor a valid lien and security interest in the collateral pledged to Bank pursuant to the terms of the Loan Agreement, including, but without limitation, the execution, delivery, filing and /or recording of promissory notes, guarantees, mortgages, security agreements, financing statements and the like, necessary in the opinion of Bank's counsel to effectuate the terms of the Loan Agreement, (b) execute and deliver any other documents necessary, in the opinion of the Bank's counsel, to complete, perfect and continue, but not to modify or change the terms of the Loan Agreement, and (c) the undersigned agrees, in consideration of CENTRIC BANK, N.A., the Lender disbursing funds for the closing of a loan on Borrower if requested by the Lender or any party acting on behalf of the Lender, to fully cooperate and adjust for any clerical errors, any and all closing documentation deemed necessary or desirable in the reasonable discretion of Lender to enable Lender to ensure enforceability of the loan if kept in Lender's own portfolio. The undersigned agrees to comply with all the above noted requests by Lender within 30 days from the date of mailing said request by the Lender. The Borrower agrees to assume all costs, including, by way of illustration and not limitation, actual expenses, legal fees and marketing losses for failing to comply with Lender's requests in the above noted time period. The undersigned does hereby agree and covenant in order to assure that loan documentation executed this day will confom and be acceptable in the marketplace in the instance of transfer, sale or conveyance by Lender of its interest in and to said loan documentation. 2) The undersigned agrees that terms, provisions and conditions set forth in the Loan Agreement, to the extent that same are not contained in the final documents or have not been fully compiled with by the time of the disbursement of loan proceeds to the Bank (a) since the date of the application for the loan which is being closed concurrently with the delivery hereof ( "Closing ") there has been no unremedied adverse change in the financial or any other condition of the Borrower or 1 I t COMMERCIAL GUARANTY Loan No: 6180228 (Continued) Page 4 any of the undersigned, (b) the undersigned received a true and complete copy of each document or other instrument signed in the connection with the closing, (c) all taxes of the Borrower and undersigned are current and all future taxes will be paid when due. 4) The undersigned acknowledges and agrees that failure to comply with the terms and conditions contained herein, or to furnish the Bank with proof thereof upon Bank's request, shall constitute an act of default under the mortgage and /or security agreement executed by the undersigned in connection with this loan transaction, which default shall entitle Bank to any and all remedies, including the acceriation of the unpaid balance of the loan, set forth in the said mortgage and /or security agreement. . DEFINITIONS. The following capitalized words and terms shall have the following meanings when used in this Guaranty. Unless specifically stated to the contrary, all references to dollar amounts shall mean amounts in lawful money of the United States of America. Words and terms used in the singular shall include the plural, and the plural shall include the singular, as the context may require. Words and terms not otherwise defined in this Guaranty shall have the meanings attributed to such terms in the Uniform Commercial Code: Borrower. The word "Borrower" means JCB Associates, LLC and includes all co- signers and co- makers signing the Note and all their successors and assigns. GAAP, The word "GAAP" means generally accepted accounting principles. Guarantor. The word "Guarantor" means everyone signing this Guaranty, including without limitation Christopher M. Bean, and in each case, any signer's successors and assigns. Guaranty. The word "Guaranty" means this guaranty from Guarantor to .Lender. Indebtedness. The word "Indebtedness" means Borrower's indebtedness to Lender as more particularly described in this Guaranty. Lender. The word "Lender" means CENTRIC BANK, N.A., its successors and assigns. Note. The word "Note" means and includes without limitation all of Borrower's promissory notes and/or credit agreements evidencing Borrower's loan obligations in favor of Lender, together with all renewals of, extensions of, modifications of, refinancings of, consolidations of and substitutions for promissory notes or credit agreements. Related Documents. The words "Related Documents" mean all promissory notes, credit agreements, loan agreements, environmental agreements, guaranties, security agreements, mortgages, deeds of trust, security deeds, collateral mortgages, and all other instruments, agreements and documents, whether now or hereafter existing, executed in connection with the Indebtedness. CONFESSION OF JUDGMENT. GUARANTOR HEREBY IRREVOCABLY AUTHORIZES AND EMPOWERS ANY ATTORNEY OR THE PROTHONOTARY OR CLERK OF ANY COURT IN THE COMMONWEALTH OF PENNSYLVANIA, OR ELSEWHERE, TO APPEAR AT ANY TIME FOR GUARANTOR AFTER THE AMOUNTS HEREUNDER BECOME DUE AND WITH OR WITHOUT COMPLAINT FILED, CONFESS OR ENTER JUDGMENT AGAINST GUARANTOR FOR THE ENTIRE PRINCIPAL BALANCE OF THIS GUARANTY AND ALL ACCRUED INTEREST, LATE CHARGES AND ANY AND ALL AMOUNTS EXPENDED OR ADVANCED BY LENDER RELATING TO ANY COLLATERAL SECURING THE INDEBTEDNESS, TOGETHER WITH COSTS OF SUIT, AND AN ATTORNEY'S COMMISSION OF TEN PERCENT (10 %) OF THE UNPAID PRINCIPAL BALANCE AND ACCRUED INTEREST FOR COLLECTION, BUT IN ANY EVENT NOT LESS THAN FIVE HUNDRED DOLLARS ($500) ON WHICH JUDGMENT OR JUDGMENTS ONE OR MORE EXECUTIONS MAY ISSUE IMMEDIATELY; AND FOR SO DOING, THIS GUARANTY OR A COPY OF THIS GUARANTY VERIFIED BY AFFIDAVIT SHALL BE SUFFICIENT WARRANT. THE AUTHORITY GRANTED IN THIS GUARANTY TO CONFESS JUDGMENT AGAINST GUARANTOR SHALL NOT BE EXHAUSTED BY ANY EXERCISE OF THAT AUTHORITY, BUT SHALL CONTINUE FROM, TIME TO TIME AND AT ALL TIMES UNTIL PAYMENT IN FULL OF ALL AMOUNTS DUE UNDER THIS GUARANTY. GUARANTOR HEREBY WAIVES ANY RIGHT GUARANTOR MAY HAVE TO NOTICE OR TO A HEARING IN CONNECTION WITH ANY SUCH CONFESSION OF JUDGMENT AND STATES THAT EITHER A REPRESENTATIVE OF LENDER SPECIFICALLY CALLED THIS CONFESSION OF JUDGMENT PROVISION TO GUARANTOR'S ATTENTION OR GUARANTOR HAS BEEN REPRESENTED BY INDEPENDENT LEGAL COUNSEL. The lien arising from any judgment confessed or entered pursuant to the foregoing authority shall not extend to any of Guarantor's residential real property as that term is defined in the Pennsylvania Act of January 30, 1974 (Pa. Laws 13, No. 6), referred to as the Loan Interest and Protection Law, as amended, and the holder of any judgment confessed or entered pursuant to the forgoing authority shall not, in enforcement of any such judgment, execute, levy or otherwise proceed against any such residential real property; provided, however, that the lien of such judgment shall extend to such residential real property and that the holder thereof shall be permitted to execute, levy or proceed against such residential real property from and after the entry of a judgment as contemplated by Section 407 of such Loan Interest and Protection Law and Rules 2981 to 2986 of the Pennsylvania Rules of Civil Procedure, or successor or similar statutes and rules. No limitation of lien or any execution, levy or other enforcement contained in the immediately preceding sentence shall apply with respect to any judgment obtained other than by the foregoing authority to confess or enter judgment. EACH UNDERSIGNED GUARANTOR. ACKNOWLEDGES HAVING READ ALL THE PROVISIONS OF THIS GUARANTY AND AGREES TO ITS TERMS. IN ADDITION, EACH GUARANTOR UNDERSTANDS THAT THIS GUARANTY IS EFFECTIVE UPON GUARANTOR'S EXECUTION AND DELIVERY OF THIS GUARANTY TO LENDER AND THAT THE GUARANTY WILL CONTINUE UNTIL TERMINATED IN THE MANNER SET FORTH IN THE SECTION TITLED "DURATION OF GUARANTY ". NO FORMAL ACCEPTANCE BY LENDER IS NECESSARY TO MAKE THIS GUARANTY EFFECTIVE. THIS GUARANTY IS DATED JUNE 6, 2008. THIS GUARANTY IS GIVEN UNDER SEAL AND IT IS INTENDED THAT THIS GUARANTY 1S AND SHALL CONSTITUTE AND HAVE THE EFFECT OF A S ALED INSTRUMENT ACCORDING TO LAW. GU RA R: ..`` Seal nstopher M. Bean LASER PAO LPndlnp, V,r. 9.30.00.008 Cap,, H,d,nd Frroncul S0,9.m Inc. 1997, 1000. All WWI R,,,rved. - PA CAPROSUITE1CFALPUE70.FC TA-M PA -39 � e PLAINT F 'S AMIB E + COMMERCIAL GUARANTY; :.: ...... ..:.: .:.: : : : : : : : : :.: ......... :: : : :. .:.:.: : : : .: : : .. : : : : :: ::.::.: : : : : : : : : : : : : : : : : : : :.: : :.: : : : : : : : : : : : : : : : : : : : .: : : : : : : : :: : : ...... : ......... ..... . . .: : is .::D: . i�:: s s: > ?::�f►ii 3Y :Ft.. » >:::: >:: <s; >:3: >;::::(7 fti:" . t7::::::> > <::: >ss? >? r > :::aGal £ <:> 01: »:: <s < >s:: 3:5> ssss: >AC (5.U11i:> ........ _....) F .................. ..................ur........... .......................................... ................F.l....1..........::, ffYc .....................ts::::::, P .......................................................................................................................................................................................................................................... ............................... :..:................. ............................... .......................... ............................... . References in the boxes above are for Lender's use only and do not limit the applicability of this document to any particular loan or item. Any item above containing " * * *" has been omitted due to text length limitations. Borrower: JCB Associates, LLC Lender CENTRIC BANK, N.A. 805 Locust Grove Road Harrisburg Office Elizabethtown, PA 17022 Corporate Headquarters 3601 Vartan Way Harrisburg, PA 17110 (717) 657 -7727 Guarantor: Jennifer S. Bean 805 Locust Grove Road Elizabethtown, PA 17022 CONTINUING GUARANTEE OF PAYMENT AND PERFORMANCE. For good and valuable consideration, Guarantor absolutely and unconditionally guarantees full and punctual payment and satisfaction of the Indebtedness of Borrower to Lender, and the performance and discharge of all Borrower's obligations under the Note and the Related Documents. This is a guaranty of payment and performance and not of collection, so Lender can enforce this Guaranty against Guarantor even when Lender has not exhausted Lender's remedies against anyone else obligated to pay the Indebtedness or against any collateral securing the Indebtedness, this Guaranty or any other guaranty of the Indebtedness. Guarantor will make any payments to Lender or its order, on demand, in legal tender of the United States of America, in same -day funds, without set -off or deduction or counterclaim, and will otherwise perform Borrower's obligations under the Note and Related Documents. Under this Guaranty, Guarantor's liability is unlimited and Guarantor's obligations are continuing. INDEBTEDNESS. The word "Indebtedness" as used in this Guaranty means all of the principal amount outstanding from time to time and at any one or more times, accrued unpaid interest thereon and all collection costs and legal expenses related thereto permitted by law, reasonable attorneys' fees, arising from any and all debts, liabilities and obligations of every nature or form, now existing or hereafter arising or acquired, that Borrower individually or collectively or interchangeably with others, owes or will owe Lender. "Indebtedness" includes, without limitation, loans, advances, debts, overdraft indebtedness, credit card indebtedness, lease obligations, liabilities and obligations under any interest rate protection agreements or foreign currency exchange agreements or commodity price protection agreements, other obligations, and liabilities of Borrower, and any present or future judgments against Borrower, future advances, loans or transactions that renew, extend, modify, refinance, consolidate or substitute these debts, liabilities and obligations whether: voluntarily or involuntarily incurred; due or to become due by their terms or acceleration; absolute or contingent; liquidated or unliquidated; determined or undetermined; direct or indirect; primary or secondary in nature or arising from a guaranty or surety; secured or unsecured; joint or several or joint and several; evidenced by a negotiable or non - negotiable instrument or writing; originated by Lender or another or others; barred or unenforceable against Borrower for any reason whatsoever; for any transactions that may be voidable for any reason (such as infancy, insanity, ultra vires or otherwise); and originated then reduced or extinguished and then afterwards increased or reinstated. If Lender presently holds one or more guaranties, or hereafter receives additional guaranties from Guarantor, Lender's rights under all guaranties shall be cumulative. This Guaranty shall not (unless specifically provided below to the contrary) affect or invalidate any such other guaranties. Guarantor's liability will be Guarantor's aggregate liability under the terms of this Guaranty and any such other unterminated guaranties. CONTINUING GUARANTY. THIS 1S A "CONTINUING GUARANTY" UNDER WHICH GUARANTOR AGREES TO GUARANTEE THE FULL AND PUNCTUAL PAYMENT, PERFORMANCE AND SATISFACTION OF THE INDEBTEDNESS OF BORROWER TO LENDER, NOW EXISTING OR HEREAFTER ARISING OR ACQUIRED, ON AN OPEN AND CONTINUING BASIS. ACCORDINGLY, ANY PAYMENTS MADE ON THE INDEBTEDNESS WILL NOT DISCHARGE OR DIMINISH GUARANTOR'S OBLIGATIONS AND LIABILITY UNDER THIS GUARANTY FOR ANY REMAINING AND SUCCEEDING INDEBTEDNESS EVEN WHEN ALL OR PART OF THE OUTSTANDING INDEBTEDNESS MAY BE A ZERO BALANCE FROM TIME TO TIME. DURATION OF GUARANTY. This Guaranty will take effect when received by Lender without the necessity of any acceptance by Lender, or any notice to Guarantor or to Borrower, and will continue in full force until all the Indebtedness incurred or contracted before receipt by Lender of any notice of revocation shall have been fully and finally paid and satisfied and all of Guarantor's other obligations under this Guaranty shall have been performed in full. If Guarantor elects to revoke this Guaranty, Guarantor may only do so in writing. Guarantor's written notice of revocation must be mailed to Lender, by certified mail, at Lender's address listed above or such other place as Lender may designate in writing. Written revocation of this Guaranty will apply only to new Indebtedness created after actual receipt by Lender of Guarantor's written revocation. For this purpose and without limitation, the term "new Indebtedness" does not include the Indebtedness which at the time of notice of revocation is contingent, unliquidated, undetermined or not due and which later becomes absolute, liquidated, determined or due. For this purpose and without limitation, "new Indebtedness" does not include all or part of the Indebtedness that is: incurred by Borrower prior to revocation; incurred under a commitment that became binding before revocation; any renewals, extensions, substitutions, and modifications of the Indebtedness. This Guaranty shall bind Guarantor's estate as to the Indebtedness created both before and after Guarantor's death or incapacity, regardless of Lender's actual notice of Guarantor's death. Subject to the foregoing, Guarantor's executor or administrator or other legal representative may terminate this Guaranty in the same manner in which Guarantor might have terminated it and with the same effect. Release of any other guarantor or termination of any other guaranty of the Indebtedness shall not affect the liability of Guarantor under this Guaranty. A revocation Lender receives from any one or more Guarantors shall not affect the liability of any remaining Guarantors under this Guaranty. It is anticipated that fluctuations may occur in the aggregate amount of the Indebtedness covered by this Guaranty, and Guarantor specifically acknowledges and agrees that reductions in the amount of the Indebtedness, even to zero dollars (50.00), shall not constitute a termination of this Guaranty. This Guaranty is binding upon Guarantor and Guarantor's heirs, successors and assigns so long as any of the Indebtedness remains unpaid and even though the Indebtedness may from time to time be zero dollars ($0.00). GUARANTOR'S AUTHORIZATION TO LENDER. Guarantor authorizes Lender, either before or after any revocation hereof, without notice or demand and without lessening Guarantor's liability under this Guaranty, from time to time: (Al prior to revocation as set forth above, to make one or more additional secured or unsecured loans to Borrower, to lease equipment or other goods to Borrower, or otherwise to extend additional credit to Borrower; (B) to alter, compromise, renew, extend, accelerate, or otherwise change one or more times the time for payment or other terms of the Indebtedness or any part of the Indebtedness, including increases and decreases of the rate of interest on the Indebtedness; extensions may be repeated and may be for longer than the original loan term; (C) to take and hold security for the payment of this Guaranty or the Indebtedness, and exchange,' enforce, waive, subordinate, fail or decide not to perfect, and release any such security, with or without the substitution of new collateral; (D) to release, substitute, agree not to sue, or deal with any one or more of Borrower's sureties, endorsers, or other guarantors on any terms or in any manner Lender.may choose; (E) to determine how, when and what application of payments and credits shall be made on the Indebtedness; (F) to apply such security and direct the order or manner of sale thereof, including without limitation, any nonjudicial sale permitted by the terms of the controlling security agreement or deed of trust, as Lender in its discretion t COMMERCIAL GUARANTY ` Loan No: 6180228 (Continued) Page 2 may determine; (G) to sell, transfer, assign or grant participations in all or any part of the Indebtedness; and (H) to assign or transfer this Guaranty in whole or in part. GUARANTOR'S REPRESENTATIONS AND WARRANTIES. Guarantor represents and warrants to Lender that (A) no representations or agreements of any kind have been made to Guarantor which would limit or qualify in any way the terms of this Guaranty; (B) this Guaranty is executed at Borrower's request and not at the request of Lender; (C) Guarantor has full power, right and authority to enter into this Guaranty; (D) the provisions of this Guaranty do not conflict with or result in a default under any agreement or other instrument binding upon Guarantor and do not result in a violation of any law, regulation, court decree or order applicable to Guarantor; (E) Guarantor has not and will not, without the prior written consent of Lender, sell, lease, assign, encumber, hypothecate, transfer, or otherwise dispose of all or substantially all of Guarantor's assets, or any interest therein; (F) upon Lender's request, Guarantor will provide to Lender financial and credit information in form acceptable to Lender, and all such financial information which currently has been, and all future financial information which will be provided to Lender is and will be true and correct in all material respects and fairly present Guarantor's financial condition as of the dates the financial information is provided; (G) no material adverse change has occurred in Guarantor's financial condition since the date of the most recent financial statements provided to Lender and no event has occurred which may materially adversely affect Guarantor's financial condition; (H) no litigation, claim, investigation, administrative proceeding or similar action (including those for unpaid taxes) against Guarantor is pending or threatened; (1) Lender has made no representation to Guarantor as to the creditworthiness of Borrower; and (J) Guarantor has established adequate means of obtaining from Borrower on a continuing basis information regarding Borrower's financial condition. Guarantor agrees to keep adequately informed from such means of any facts, events, or circumstances which might in any way affect Guarantor's risks under this Guaranty, and Guarantor further agrees that Lender shall have no obligation to disclose to Guarantor any information or documents acquired by Lender in the course of its relationship with Borrower. GUARANTOR'S FINANCIAL STATEMENTS. Guarantor agrees to furnish Lender with the following: Tax Returns. As soon as available, but in no event later than sixty (60) days after the applicable filing date for the tax reporting period ended, Federal and other governmental tax returns, prepared by a certified public accountant satisfactory to Lender. Additional Requirements. Annual Personal Financial Statement. All financial reports required to be provided under this Guaranty shall be prepared in accordance with GAAP, applied on a consistent basis, and certified by Guarantor as being true and correct. GUARANTOR'S WAIVERS. Except as prohibited by applicable law, Guarantor waives any right to require Lender (A) to continue lending money or to extend other credit to Borrower; (B) to make any presentment, protest, demand, or notice of any kind, including notice of any nonpayment of the Indebtedness or of any nonpayment related to any collateral, or notice of any action or nonaction on the part of Borrower, Lender, any surety, endorser, or other guarantor in connection with the Indebtedness or in connection with the creation of new or additional loans or obligations; (C) to resort for payment or to proceed directly or at once against any person, including Borrower or any other guarantor; (D) to proceed directly against or exhaust any collateral held by Lender from Borrower, any other guarantor, or any other person; (E) to give notice of the terms, time, and place of any public or private sale of personal property security held by Lender from Borrower or to comply with any other applicable provisions of the Uniform Commercial Code; (F) to pursue any other remedy within Lender's power; or (G) to commit any act or omission of any kind, or at any time, with respect to any matter whatsoever. Guarantor also waives any and all rights or defenses based on suretyship or impairment of collateral including, but not limited to, any rights or defenses arising by reason of (A) any "one action" or "anti- deficiency" law or any other law which may prevent Lender from bringing any action, including a claim for deficiency, against Guarantor, before or after Lender's commencement or completion of any foreclosure action, either judicially or by exercise of a power of sale; (B) any election of remedies by Lender which destroys or otherwise adversely affects Guarantor's subrogation rights or Guarantor's rights to proceed against Borrower for reimbursement, including without limitation, any loss of rights Guarantor may suffer by reason of any law limiting, qualifying, or discharging the Indebtedness; (C) any disability or other defense of Borrower, of any other guarantor, or of any other person, or by reason of the cessation of Borrower's liability from any cause whatsoever, other than payment in full in legal tender, of the Indebtedness; (D) any right to claim discharge of the Indebtedness on the basis of unjustified impairment of any collateral for the Indebtedness; (E) any statute of limitations, if at any time any action or suit brought by Lender against Guarantor is commenced, there is outstanding Indebtedness which is not barred by any applicable statute of limitations; or (F) any defenses given to guarantors at law or in equity other than actual payment and performance of the Indebtedness. If payment is made by Borrower, whether voluntarily or otherwise, or by any third party, on the Indebtedness and thereafter Lender is forced to remit the amount of that payment to Borrower's trustee in bankruptcy or to any similar person under any federal or state bankruptcy law or law for the relief of debtors, the Indebtedness shall be considered unpaid for the purpose of the enforcement of this Guaranty. Guarantor further waives and agrees not to assert or claim at any time any deductions to the amount guaranteed under this Guaranty for any claim of setoff, counterclaim, counter demand, recoupment or similar right, whether such claim, demand or right may be asserted by the Borrower, the Guarantor, or both. GUARANTOR'S UNDERSTANDING WITH RESPECT TO WAIVERS. Guarantor warrants and agrees that each of the waivers set forth above is made with Guarantor's full knowledge of its significance and consequences and that, under the circumstances, the waivers are reasonable and not contrary to public policy or law. If any such waiver is determined to be contrary to any applicable law or public policy, such waiver shall be effective only to the extent permitted by law or public policy. RIGHT OF SETOFF. To the extent permitted by applicable law, Lender reserves a right of setoff in all Guarantor's accounts with Lender (whether checking, savings, or some other account). This includes all accounts Guarantor holds jointly with someone else and all accounts Guarantor may open in the future. However, this does not include any IRA or Keogh accounts, or any trust accounts for which setoff would be prohibited by law. Guarantor authorizes Lender, to the extent permitted by applicable law, to hold these funds if there is a default, and Lender may apply the funds in these accounts to pay what Guarantor owes under the terms of this Guaranty. SUBORDINATION OF BORROWER'S DEBTS TO GUARANTOR. Guarantor agrees that the Indebtedness, whether now existing or hereafter created, shall be superior to any claim that Guarantor may now have or hereafter acquire against Borrower, whether or not Borrower becomes insolvent. Guarantor hereby expressly subordinates any claim Guarantor may have against Borrower, upon any account whatsoever, to any claim that Lender may now or hereafter have against Borrower. In the event of insolvency and consequent liquidation of the .assets of Borrower, through bankruptcy, by an assignment for the benefit of creditors, by voluntary liquidation, or otherwise, the assets of Borrower applicable to the payment of the claims of both Lender and Guarantor shall be paid to Lender and shall be first applied by Lender to the Indebtedness. Guarantor does hereby assign to Lender all claims which it may have or acquire against Borrower or against any assignee or trustee in bankruptcy of Borrower; provided however, that such assignment shall be effective only for the purpose of assuring to Lender full payment in legal tender of the Indebtedness. If Lender so requests, any notes or credit agreements now or hereafter evidencing any debts or obligations of Borrower to Guarantor shall be marked with a legend that the same are subject to this Guaranty and shall be delivered to Lender. Guarantor agrees, and Lender is hereby authorized, in the name of Guarantor, from time to time to file financing statements and continuation statements and to execute documents and to take such other actions as Lender deems necessary or appropriate to perfect, preserve and enforce its rights nndPr this Guarantv. I S. ` ( COMMERCIAL GUARANTY Loan No: 6980228 (Continued) Page 3 MISCELLANEOUS PROVISIONS. The following miscellaneous provisions are a part of this Guaranty: Amendments. This Guaranty, together with any Related Documents, constitutes the entire understanding and agreement of the parties as to the matters set forth in this Guaranty. No alteration of or amendment to this Guaranty shall be effective unless given in writing and signed by the party or parties sought to be charged or bound by the alteration or amendment. Attorneys' Fees; Expenses. Guarantor agrees to pay upon demand all of Lender's costs and expenses, including Lender's reasonable attorneys' fees and Lender's legal expenses, incurred in connection with the enforcement of this Guaranty. Lender may hire or pay someone else to help enforce this Guaranty, and Guarantor shall pay the costs and expenses of such enforcement. Costs and expenses include Lender's reasonable attorneys' fees and legal expenses whether or not there is a lawsuit, including reasonable attorneys' fees and legal expenses for bankruptcy proceedings (including efforts to modify or vacate any automatic stay or injunction), appeals, and any anticipated post - judgment collection services. Guarantor also shall pay all court costs and such additional fees as may be directed by the court. Caption Headings. Caption headings in this Guaranty are for convenience purposes only and are not to be used to interpret or define the provisions of this Guaranty. Governing Law. This Guaranty will be governed by federal law applicable to Lender and, to the extent not preempted by federal law, the laws of the Commonwealth of Pennsylvania without regard to its conflicts of law provisions. Choice of Venue. if there is a lawsuit, Guarantor agrees upon Lender's request to submit to the jurisdiction of the courts of Dauphin County, Commonwealth of Pennsylvania. Integration. Guarantor further agrees that Guarantor has read and fully understands the terms of this Guaranty; Guarantor has had the opportunity to be advised by Guarantor's attorney with respect to this Guaranty; the Guaranty fully reflects Guarantor's intentions and parol evidence is not required to interpret the terms of this Guaranty. Guarantor hereby indemnifies and holds Lender harmless from all losses, claims, damages, and costs (including Lender's attorneys' fees) suffered or incurred by Lender as a result of any breach by Guarantor of the warranties, representations and agreements of this paragraph. Interpretation. In all cases where there is more than one Borrower or Guarantor, then all words used in this Guaranty in the singular shall be deemed to have been used in the plural where the context and construction so require; and where there is more than one Borrower named in this Guaranty or when this Guaranty is executed by more than one Guarantor, the words "Borrower" and "Guarantor" respectively shall mean all and any one or more of them. The words "Guarantor," "Borrower," and "Lender" include the heirs, successors, assigns, and transferees of each of them. If a court finds that any provision of this Guaranty is not valid or should not be enforced, that fact by itself will not mean that the rest of this Guaranty will not be valid or enforced. Therefore, a court will enforce the rest of the provisions of this Guaranty even if a provision of this Guaranty may be found to be invalid or unenforceable. If any one or more of Borrower or Guarantor are corporations, partnerships, limited liability companies, or similar entities, it is not necessary for Lender to inquire into the powers of Borrower or Guarantor or of the officers, directors, partners, managers, or other agents acting or purporting to act on their behalf, and any indebtedness made or created in reliance upon the professed exercise of such powers shall be guaranteed under this Guaranty. Notices. Unless otherwise provided by applicable law, any notice required to be given under this Guaranty shall be given in writing, and, except for revocation notices by Guarantor, shall be effective when actually delivered, when actually received by telefacsimile (unless otherwise required by law), when deposited with a nationally recognized overnight courier, or, if mailed, when deposited in the United States mail, as first class, certified or registered mail postage prepaid, directed to the addresses shown near the beginning of this Guaranty. All revocation notices by Guarantor shall be in writing and shall be effective upon delivery to Lender as provided in the section of this Guaranty entitled "DURATION OF GUARANTY." Any party may change its address for notices under this Guaranty by giving formal written notice to the other parties, specifying that the purpose of the notice is to change the party's address. For notice purposes, Guarantor agrees to keep Lender informed at all times of Guarantor's current address. Unless otherwise provided by applicable law, if there is more than one Guarantor, any notice given by Lender to any Guarantor is deemed to be notice given to all Guarantors. No Waiver by Lender. Lender shall not be deemed to have waived any rights under this Guaranty unless such waiver is given in writing and signed by Lender. No delay or omission on the part of Lender in exercising any right shall operate as a waiver of such right or any other right. A waiver by Lender of a provision of this Guaranty shall not prejudice or constitute a waiver of Lender's right otherwise to demand strict compliance with that provision or any other provision of this Guaranty. No prior waiver by Lender, nor any course of dealing between Lender and Guarantor, shall constitute a waiver of any of Lender's rights or of any of Guarantor's obligations as to any future transactions. Whenever the consent of Lender is required under this Guaranty, the granting of such consent by Lender in any instance shall not constitute continuing consent to subsequent instances where such consent is required and in all cases such consent may be granted or withheld in the sole discretion of Lender. Successors and Assigns. The terms of this Guaranty shall be binding upon Guarantor, and upon Guarantor's heirs, personal representatives, successors, and assigns, and shall be enforceable by Lender and its successors and assigns. CERTIFICATION AND AGREEMENT FOR CONTINUING PERFECTION AND COMPLIANCE. Whereas, the Borrower has applied to CENTRIC BANK , N.A., (THE "BANK ") for a certain loan and/ or financial accomodations and Whereas, the Bank has agreed to make the aforesaid loan, but only upon the conditions contained in the Commitment Letter (hereinafter called the "Loan Agreement "), and Whereas the undersigned deem(s) it in (their) best interest to obtain the aforesaid loan, Now therefore, in consideration of these premises and other good and valuable consideration, it is agreed as follows: 1)The undersigned will perform any and all steps requested by the Bank to: (a) create and maintain in the Bank's favor a valid lien and security interest in the collateral pledged to Bank pursuant to the terms of the Loan Agreement, including, but without limitation, the execution, delivery; filing and /or recording of promissory notes, guarantees, mortgages, security agreements, financing statements and the like, necessary in the opinion of Bank's counsel to effectuate the terms of the Loan Agreement, (b) execute and deliver any other documents necessary, in the opinion of the Bank's counsel, to complete, perfect and continue, but not to modify or change the terms of the Loan Agreement, and (c) the undersigned agrees, in consideration of CENTRIC BANK, N.A., the Lender disbursing funds for the closing of a loan on Borrower if requested by the Lender or any party acting on behalf of the Lender, to fully cooperate and adjust for any clerical errors, any and all closing documentation deemed necessary or desirable in the reasonable discretion of Lender to enable Lender to ensure enforceability of the loan if kept in Lender's own portfolio. The undersigned agrees to comply with all the above noted requests by Lender within 30 days from the date of mailing said request by the Lender. The Borrower agrees to assume all costs, including, by way of illustration and not limitation, actual expenses, legal fees and marketing losses for failing to comply with Lender's requests in the above noted time period. The undersigned does hereby agree and covenant in order to assure that loan documentation executed this day will confom and be acceptable in the marketplace in the instance of transfer, sale or conveyance by Lender of its interest in and to said loan documentation. 2) The undersigned agrees that terms, provisions and conditions set forth in the Loan Agreement, to the extent that same are not contained in the final documents or have not been fully compiled with by the time of the disbursement of loan proceeds to the Bank (a) since the date of the application for the loan which is being closed concurrently with the delivery hereof ( "Closinq ") there has been no unremedied adverse change in the financial or any other condition of the Borrower or ( COMMERCIAL GUARANTY (: Loan No: 6180228 (Continued) Page 4 any of the undersigned, (b) the undersigned received a true and complete copy of each document or other instrument signed in the connection with the closing, (c) all taxes of the Borrower and undersigned are current and all future taxes will be paid when due. 4) The undersigned acknowledges and agrees that failure to comply with the terms and conditions contained herein, or to furnish the Bank with proof thereof upon Bank's request, shall constitute an act of default under the mortgage and /or security agreement executed by the undersigned in connection with this loan transaction, which default shall entitle Bank to any and all remedies, including the accerlation of the unpaid balance of the loan, set forth in the said mortgage and /or security agreement. . DEFINITIONS. The following capitalized words and terms shall have the following meanings when used in this Guaranty. Unless specifically stated to the contrary, all references to dollar amounts shall mean amounts in lawful money of the United States of America. Words and terms used in the singular shall include the plural, and the plural shall include the singular, as the context may require. Words and terms not otherwise defined in this Guaranty shall have the meanings attributed to such terms in the Uniform Commercial Code: Borrower. The word "Borrower" means JCS Associates, LLC and Includes all co- signers and co- makers signing the Note and all their successors and assigns, GAAP. The word "GAAP" means generally accepted accounting principles. Guarantor. The word "Guarantor" means everyone signing this Guaranty, including without limitation Jennifer S. Bean, and in each case, any signer's successors and assigns. Guaranty. The word "Guaranty" means this guaranty from Guarantor to Lender. Indebtedness. The word "Indebtedness" means Borrower's indebtedness to Lender as more particularly described in this Guaranty. Lender. The word "Lender" means CENTRIC BANK, N.A., its successors and assigns. Note. The word "Note" means and includes without limitation all of Borrower's promissory notes and /or credit agreements evidencing Borrower's loan obligations in favor of Lender, together with all renewals of, extensions of, modifications of, refinancings of, consolidations of and substitutions for promissory notes or credit agreements. Related Documents. The words "Related Documents" mean all promissory notes, credit agreements, loan agreements, environmental agreements, guaranties, security agreements, mortgages, deeds of trust, security deeds, collateral mortgages, and all other instruments, agreements and documents, whether now or hereafter existing, executed in connection with the Indebtedness. CONFESSION OF JUDGMENT. GUARANTOR HEREBY IRREVOCABLY AUTHORIZES AND EMPOWERS ANY ATTORNEY OR THE PROTHONOTARY OR CLERK OF ANY COURT IN THE COMMONWEALTH OF PENNSYLVANIA, OR ELSEWHERE, TO APPEAR AT ANY TIME FOR GUARANTOR AFTER THE AMOUNTS HEREUNDER BECOME DUE AND WITH OR WITHOUT COMPLAINT FILED, CONFESS OR ENTER JUDGMENT AGAINST GUARANTOR FOR THE ENTIRE PRINCIPAL BALANCE OF THIS GUARANTY AND ALL ACCRUED INTEREST, LATE CHARGES AND ANY AND ALL AMOUNTS EXPENDED OR ADVANCED BY LENDER RELATING TO ANY COLLATERAL SECURING THE INDEBTEDNESS, TOGETHER WITH COSTS OF SUIT, AND AN ATTORNEY'S COMMISSION OF TEN PERCENT (10 %) OF THE UNPAID PRINCIPAL BALANCE AND ACCRUED INTEREST FOR COLLECTION, BUT IN ANY EVENT NOT LESS THAN FIVE HUNDRED DOLLARS ($500) ON WHICH JUDGMENT OR JUDGMENTS ONE OR MORE EXECUTIONS MAY ISSUE IMMEDIATELY; AND FOR SO DOING, THIS GUARANTY OR A COPY OF THIS GUARANTY VERIFIED BY AFFIDAVIT SHALL BE SUFFICIENT WARRANT. THE AUTHORITY GRANTED IN THIS GUARANTY TO CONFESS JUDGMENT AGAINST GUARANTOR SHALL NOT BE EXHAUSTED BY ANY EXERCISE OF THAT AUTHORITY, BUT SHALL CONTINUE FROM TIME TO TIME AND AT ALL TIMES UNTIL PAYMENT IN FULL OF ALL AMOUNTS DUE UNDER THIS GUARANTY. GUARANTOR HEREBY WAIVES ANY RIGHT GUARANTOR MAY HAVE TO NOTICE OR TO A HEARING IN CONNECTION WITH ANY SUCH CONFESSION OF JUDGMENT AND STATES THAT EITHER A REPRESENTATIVE OF LENDER SPECIFICALLY CALLED THIS CONFESSION OF JUDGMENT PROVISION TO GUARANTOR'S ATTENTION OR GUARANTOR HAS BEEN REPRESENTED BY INDEPENDENT LEGAL COUNSEL. The lien arising from any judgment confessed or entered pursuant to the foregoing authority shall not extend to any of Guarantor's residential real property as that term is defined in the Pennsylvania Act of January 30, 1974 (Pa. Laws 13, No. 6), referred to as the Loan Interest and Protection Law, as amended, and the holder of any judgment confessed or entered pursuant to the forgoing authority shall not, in enforcement of any such judgment, execute, levy or otherwise proceed against any such residential real property; provided, however, that the lien of such judgment shall extend to such residential real property and that the holder thereof shall be permitted to execute, levy or proceed against such residential real property from and after the entry of a judgment as contemplated by Section 407 of such Loan Interest and Protection Law and Rules 2981 to 2986 of the Pennsylvania Rules of Civil Procedure, or successor or similar statutes and rules. No limitation of lien or any execution, levy or other enforcement contained in the immediately preceding sentence shall apply with respect to any judgment obtained other than by the foregoing authority to confess or enter judgment. EACH UNDERSIGNED GUARANTOR ACKNOWLEDGES HAVING READ ALL THE PROVISIONS OF THIS GUARANTY AND AGREES TO ITS TERMS. IN ADDITION, EACH GUARANTOR UNDERSTANDS THAT THIS GUARANTY IS EFFECTIVE UPON GUARANTOR'S EXECUTION AND DELIVERY OF THIS GUARANTY TO LENDER AND THAT THE GUARANTY WILL CONTINUE UNTIL TERMINATED IN THE MANNER SET FORTH IN THE SECTION TITLED "DURATION OF GUARANTY ". NO FORMAL ACCEPTANCE BY LENDER IS NECESSARY TO MAKE THIS GUARANTY EFFECTIVE. THIS GUARANTY IS DATED JUNE 6, 2008. THIS GUARANTY IS GIVEN UNDER SEAL AND IT IS INTENDED THAT THIS GUARANTY IS AND SHALL CONSTITUTE AND HAVE THE EFFECT OF A SEALED INSTRUMENT ACCORDING TO LAW. GUARANTOR: Je fe eal) , Bean tASER PAO lmdln0• Vu. S•00.00.008 Cop,. H +dand Pi.—W S.W.-, Inc. 1997, 2008. A8 Rlghl, A ... N.d. • PA C:IPROSOITE1CH%Pt1E20.FC TR -04S PR -09 i Tai. v Steven J. Schiffinan, Esq. fir': t�� HOtVt��,�;6rt,,' Jeni S. Madden, Esq. ��,� X%' _ 7 �� PA ID Nos. 25488 & 209536 (: Q6 SERRATELLI, SCHIFFMAN, & BROWN, P.C. CJJMT LA,�O COUNTY 2080 Linglestown Road, Suite 201 ' N RLAND COU Harrisburg, PA 17110 -9670 (717) 540 -9170 sschiffman@ssbc- law.com imadden@ssbc-law.com CENTRIC BANK, IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA Plaintiff : V. : JCB ASSOCIATES, LLC, : CHRISTOPHER M. BEAN and JENNIFER S. BEAN, : No. Defendants Notice Under Rule 2958.1 of Judgment and Execution Thereon CONFESSED JUDGMENT TO: JCB Associates, LLC 805 Locust Grove Road Elizabethtown, PA 17022 Christopher M. Bean 805 Locust Grove Road Elizabethtown, PA 17022 Jennifer S. Bean 805 Locust Grove Road Elizabethtown, PA 17022 A judgment in the amount of $120,536.79 has been entered against you and in favor of the Plaintiff without prior notice or hearing based on a confession of judgment contained in a written agreement or other paper allegedly signed by you. The Sheriff may take your money or other property to pay the judgment at any time after thirty (30) days after the date on which this Notice is served on you. You may have legal rights to defeat the judgment or prevent your money or property from being taken. YOU MUST FILE A PETITION SEEKING RELIEF FROM THE . JUDGMENT AND PRESENT IT TO A JUDGE WITHIN THIRTY (30) DAYS AFTER THE DATE ON WHICH THIS NOTICE IS SERVED ON YOU OR YOU MAY LOSE YOUR RIGHTS. YOU SHOULD TAKE THIS PAPER TO YOUR LAWYER AT ONCE. IF YOU DON'T HAVE A LAWYER OR CANNOT AFFORD ONE, GO TO OR TELEPHONE THE OFFICE SET FOURTH BELOW TO FIND OUT WHERE YOU CAN GET LEGAL HELP: Cumberland County Bar Association 32 South Bedford Street Carlisle, PA 17013 1- 800 - 990 -9108 717- 249 -3166 Steven J. Schiffinan, Esq. Jeni S. Madden, Esq. PA ID Nos. 25488 & 209536 SERRATELLI, SCHIFFMAN, & BROWN, P.C. 2080 Linglestown Road, Suite 201 Harrisburg, PA 17110 -9670 (717) 540 -9170 sschiffinangssbc -law. com jmadden @ssbc- law.com CENTRIC BANK, IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA Plaintiff V. JCB ASSOCIATES, LLC, CHRISTOPHER M. BEAN and JENNIFER S. BEAN, ; No. Defendants NOTICE PURSUANT TO 42 Pa.0 S X2737.1 Please take notice that the Plaintiff in this matter has entered judgment by confession against you in the amount of $120,536.79. You are entitled to a petition to "strike" or "open" the judgment. In order to do so, you must promptly file a petition with the Court of Common Pleas of Cumberland County, Pennsylvania, as required by Rule 2959 of the Pennsylvania Rules of Civil Procedure. Any such petition can be filed with the clerk or Prothonotary at the courthouse in Carlisle, Cumberland County. A petition is a formal statement of your basis for challenging the judgment. You must include the names of the parties at the top of the first page and the case number, which is shown above. The petition must state your reasons for challenging the judgment in separate numbered paragraphs. You have to sign the petition and include a sworn statement at the end of the document verifying that the facts you state in the petition are true and accurate. You will waive any defense and objections not included in your petition to strike or open. You must therefore make every effort to raise all possible issues and defenses in your petition to strike or open in order to avoid waiving any claims. If you elect to file a petition, you must meet the requirements of Rule 2959 of the Rules of Civil Procedure. A full copy of Rule 2959 is attached to this Notice. You may also have to comply with local rules of procedure in effect in the county where the judgment was entered. If you do not file a petition challenging the judgment, the Plaintiff may take steps to collect on the judgment by asking the Sheriff to seize your assets. Accordingly, you should immediately seek the advice of attorney. If you wish to discuss the matter with an attorney but do not know how to find one, you may request a referral by contacting the following agency: Cumberland County Bar Association 32 South Bedford Street Carlisle, PA 17013 1- 800 - 990 -9108 717 - 249 -3166 Corporations may be unable to represent themselves in court. If the defendants include a corporation, the corporation must appear through an attorney if it intends to challenge the judgment. You may receive other papers and notices regarding the judgment. Those other papers do not negate or override this Notice. Likewise, this Notice is not intended to and does not negate any of the notices or information obtained in other papers that may be served upon you. We reiterate that you are required to act promptly if you wish to seek relief from the judgment. Under certain circumstances, you have only 30 days in which to file a petition after papers are served on you. Even if the 30 day rule does not apply, you must act promptly in order to protect your interests. Failing to act in a timely manner will render you unable to challenge the judgment at a later time. If you were incorrectly identified and judgment was entered against you in error you may be entitled to collect cost and reasonable attorney's fees as determined by the Court. Date: June 6, 2013 B d/ Je S. Madden, Esquire P . ID No 209536 80 Linglestown Road, Suite 201 Harrisburg, PA 17110 -9670 (717) 540 -9170 Counsel for Mid Penn Bank Rule 2959. Striking off or Opening Judgment. Pleadings. Procedure. (a)(1) Relief from judgment by confession shall be sought by petition. Except as provided in subparagraph (2), all grounds for relief whether to strike off the judgment or to open judgment must be asserted in a single petition. The petition may be filed in the county in which the judgment was originally entered, in any county to which the judgment has been transferred or in any other county in which the sheriff received a writ of execution directed to the sheriff to enforce the judgment. (2) The ground that the waiver of the due process rights of notice and hearing was not voluntary, intelligent and knowing shall be raised only (i) in support of a further request for a stay of execution where the court has not stayed execution despite the timely filing of a petition for relief from the judgment and the presentation of prima facie evidence of a defense; and (ii) as provided by Rule 2958.3 or Rule 2973.3 (3) If written notice is served upon the petitioner pursuant to Rule 2956.1(c)(2) or Rule 2973.1(c), the petition shall be filed within thirty days after such service. Unless the defendant can demonstrate that there were compelling reasons for the delay, a petition not timely filed shall be denied. (b) If the petition states prima facie grounds for relief the court shall issue a rule to show cause and may grant a stay of proceedings. After being served with a copy of the petition the plaintiff shall file an answer on or before the return day of the rule. The return day of the rule shall be fixed by the court by local rule or special order. (c) A party waives all defense and objections which are not in the petition or answer. (d) The petition and rule to show cause and the answer shall be served as provided in Rule 440. (e) The court shall dispose of the rule on petition and answer, and on any testimony, depositions, admissions and other evidence. The court for cause shown may stay proceedings on the petition insofar as it seeks to open the judgment pending deposition of the application to strike off the judgment. If the evidence is produced which in a jury trial would require the issues to be submitted to the jury the court shall open the judgment. (f) The lien of the judgment or of any levy or attachment shall be preserved while the proceedings to strike off or open the judgment are pending. (g)(1) A judgment shall not be stricken or opened because of a creditor's failure to provide a debtor with instructions imposed by an existing statute, if any, regarding procedures to follow to strike a judgment or regarding any rights available to an incorrectly identified debtor. (2) Subdivision (g)(1) shall apply to (1) judgments entered prior to the effective date of subdivision (g)' which have not been stricken or opened as of the effective date and (2) judgments entered on or after the effective date. 'Subd. (g) added by Order of Sept. 28, 2004, imd. effective. Steven J. Schiffinan, Esq. Jeni S. Madden, Esq. PA ID Nos. 25488 & 209536 SERRATELLI, SCHIFFMAN, & BROWN, P.C. 2080 Linglestown Road, Suite 201 Harrisburg, PA 17110 -9670 (717) 540 -9170 sschiffmanga ssbc- law.com jmaddengssbc- 1aw.com CENTRIC BANK, IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA Plaintiff V. JCB ASSOCIATES, LLC, CHRISTOPHER M. BEAN and JENNIFER S. BEAN, V No. Defendants TO: JCB Associates, LLC 805 Locust Grove Road Elizabethtown, PA 17022 Christopher M. Bean 805 Locust Grove Road Elizabethtown, PA 17022 Jennifer S. Bean 805 Locust Grove Road Elizabethtown, PA 17022 NOTICE Pursuant to Pa.R.C.P. 236, you are hereby notified that judgment by confession has been entered against you in the above - captioned matter. Date: 7 �� Prothonotary SHERIFF'S OFFICE OF CUMBERLAND COUNTY Ronny R Anderson Sheriff Jody S Smith ,tr t atantaert. iE i RO nUNu i t Chief Deputy 2013 JUN 20 P 3: 214 Richard W Stewart Solicitor F THE x EPoE CUMBERLAND COUNTY PENNSYLVANIA Centric Bank vs. Case Number JCB Associates, LLC. (et al.) 2013-3282 SHERIFF'S RETURN OF SERVICE 06/07/2013 Sheriff Ronny R Anderson, being duly sworn according to law, states he made diligent search and inquiry for the within named Defendant to wit: JCB Associates, LLC., but was unable to locate the Defendant in the Sheriffs bailiwick. The Sheriff therefore deputizes the Sheriff of Lancaster, Pennsylvania to serve the within Complaint in Confession of Judgment according to law. 06/07/2013 Sheriff Ronny R Anderson, being duly sworn according to law, states he made diligent search and inquiry for the within named Defendant to wit: Christopher M Bean, but was unable to locate the Defendant in the Sheriffs bailiwick. The Sheriff therefore deputizes the Sheriff of Lancaster, Pennsylvania to serve the within Complaint in Confession of Judgment according to law. 06/07/2013 Sheriff Ronny R Anderson, being duly sworn according to law, states he made diligent search and inquiry for the within named Defendant to wit: Jennifer S Bean, but was unable to locate the Defendant in the Sheriffs bailiwick. The Sheriff therefore deputizes the Sheriff of Lancaster, Pennsylvania to serve the within Complaint in Confession of Judgment according to law. 06/13/2013 09:10 PM -The requested Complaint in Confession of Judgment served by the Sheriff of Lancaster County upon Christopher Bean,who accepted for Jennifer S Bean, at 303 Plum Street, Elizabethtown, PA 17022. Mark S. Reese, Sheriff, Return of Service attached to and made part of the within record. 06/13/2013 09:10 PM -The requested Complaint in Confession of Judgment served by the Sheriff of Lancaster County upon Christopher M Bean, personally, at 303 Plum Street, Elizabethtown, PA 17022. Mark S. Reese, Sheriff, Return of Service attached to and made part of the within record. 06/13/2013 09:10 PM-The requested Complaint in Confession of Judgment served by the Sheriff of Lancaster County upon Christopher Bean, Owner, who accepted for JCB Associates, LLC., at 805 Locust Grove Road, Elizabethtown, PA 17022. Mark S. Reese, Sheriff, Return of Service attached to and made part of the within record. SHERIFF COST: $69.00 SO ANSWERS, June 17, 2013 RONR ANDERSON, SHERIFF Sheaf`,'Te cowl: ■ u. SHERIFF'S OFFICE OF LANCASTER COUNTY Mark S. Reese Brad Harris Sheriff '* Solicitor Marc Lancaster c Charles Hamilton Chief Deputy Lieutenant CENTRIC BANK Case Number vs. CHRISTOPHER M BEAN (et al.) 2013-3282 SHERIFF'S RETURN OF SERVICE 06/13/2013 09:10 PM -SERVED THE COMPLAINT IN CONFESSION OF JUDGMENT(CONF JUDG) BY PERSONAL SERVICE UPON CHRISTOPHER M BEAN AT THE HOUSE OF A FRIEND, 303 PLUM STREET, ELIZABETHTOWN, PA 17022. SO ANSWERS: SERGEANT CHRISTOPHER LEPPLER, DEPUTY SHERIFF OF LANCASTER COUNTY, PA CHRISTOPHER LEPPLER, SERGEANT 06/13/2013 09:10 PM -SERVED THE COMPLAINT IN CONFESSION OF JUDGMENT(CONF JUDG) BY HANDING A COPY TO CHRISTOPHER BEAN, HUSBAND, WHO ACCEPTED AS"ADULT PERSON IN CHARGE" FOR JENNIFER S BEAN AT THE HOUSE OF A FRIEND, 303 PLUM STREET, ELIZABETHTOWN, PA 17022. SO ANSWERS: SERGEANT CHRISTOPHER LEPPLER, DEPUTY SHERIFF OF LANCASTER COUNTY, PA. CHRISTOPHER LEPPLER, SERGEANT 06/13/2013 09:10 PM-SERVED THE COMPLAINT IN CONFESSION OF JUDGMENT(CONF JUDG) BY HANDING A COPY TO CHRISTOPHER BEAN, OWNER, WHO ACCEPTED AS"ADULT PERSON IN CHARGE" FOR JCB ASSOCIATES, LLC AT THE HOUSE OF A FRIEND, 303 PLUM STREET, ELIZABETHTOWN, PA 17022. SO ANSWERS: SERGEANT CHRISTOPHER LEPPLER, DEPUTY SHERIFF OF LANCASTER COUNTY, PA. DEPUTY RECEIVED PHONE CALL TO SERVE DEFENDANT AT THAT ADDRESS. CHRISTOPHER LEPPLER, SERGEANT SHERIFF COST: $102.84 SO ANSWERS, June 14, 2013 MARK S. REESE, SHERIFF CountySutc e'ersoft,in;